Lending Platforms - Presentation by Samir Desai, Co-Founder & CEO of Funding Circle at the NOAH Conference London 2017, Old Billingsgate on the 3rd of November 2017.

1. Using technology and data
to revolutionise the
customer experience
Samir Desai, Funding Circle

2. Three Conferences, One Mission: Empower the European Digital Ecosystem
To provide a physical marketplace
that facilitates funding of
digital European companies
at all stages
Mission Mission Mission
Connecting
Capital with
Entrepreneurs
Connecting European
Champions
and Challengers
Connecting Israel’s Startups
with Large Corporates
and Investors
30-31 October 2018
Old Billingsgate, London
6-7 June 2018
Tempodrom, Berlin
13-14 March 2018
Haoman 17, Tel Aviv
To promote Israel - European
relationships and enable funding
To bring together future-shaping
executives and investors active
across segments driven
by digital revolution

3. Funding Circle is the leading global lending platform for small businesses
2
1. See “Key Milestones” (slide 15) for a more detailed overview of corporate capital raised
2. Source: Funding Circle, includes UK, US and CE originations - USD:GBP FX rate of 1:0.82 and EUR:GBP FX rate of 1:0.85
3. Source: Funding Circle; As at September 2017
Deep and diverse institutional lending base $5bn+ Lent to >37,000 businesses2
$330m equity capital raised1
2010 2013 2015 2015
Strong and experienced leadership
Eric Daniels, Director
Former CEO Lloyds
Bob Steel, Director
Former Vice-Chairman
Goldman Sachs
Andrew Learoyd, Chairman
Former COO Equities
Goldman Sachs
Samir Desai CBE
CEO and Co-Founder
David Yu, CPO
Former CEO Betfair
Jerome Le Luel, CRO
Former CRO Barclaycard
~800 staff3
SME income Fund

4. Traditional banks are turning away from small businesses globally
3
1. Source: Financial Times (https://www.ft.com/content/3a1c5cbc-f088-11e3-8f3d-00144feabdc0)
2. Source: https://ec.europa.eu/commission/sites/beta-political/files/juncker-political-guidelines-speech_en_0.pdf
3. Source: Business Insider (http://uk.businessinsider.com/funding-circle-raises-100-million-accel-chancellor-philip-hammond-fintech-2017-1)
(£3.000)
(£2.500)
(£2.000)
(£1.500)
(£1.000)
(£500)
£0
£500
£1.000
£1.500
Dec-13
Mar14
Jun14
Sep14
Dec14
Mar15
Jun15
Sep15
Dec15
Mar16
Jun16
Sept16
Dec16
Mar17
Jun17
Millions
UK: Cumulative net lending1 to UK small
businesses2
UK Banks
(2,568)
1,242
US: Credit gap for small
businesses persists
Europe: Volumes have dropped in
last 10 years

5. Platforms are much more efficient intermediaries
4
25% of our UK borrowers have taken more than one loan94% of our borrowers would come back us first in the future

6. Funding Circle does not hold inventory so generates >330x better return on capital
vs. banks
At scale, lending platforms have high margins and
low capital requirements
Return on required capital – Projected Funding
Circle vs. large UK bank
Assumptions: Originations conservatively match average loans serviced by marketplace (in practice this is normally lower); scale assumed to be ~£10bn per annum
Source: FCA Capital Requirements for Debt Based Crowdfunders under IPRU (INV) 12.2.2 R - IPRU (INV) 12.2.7 R. Loans funded band 0.2% for £50m; 0.15% for £200m; 0.10% for
£250m; 0.05% above £500m
LBG 2015 Annual Report Excel File
5
• Income margin: ~5.0%
• EBITDA margin: 50%+
• Required capital: ~0.05%
• Return on required capital: ~5000%
~5,000%
~15%
>330x

7. 6
Leading edge analytics enables us to offer the right loan to the
right borrower at the right time
Risk
Response
H M L
Target Underwrite Top Up Collect Recover
Borrower Credit Lifecycle with Funding Circle
H
M
L
Marketing Targeting
Through Machine Learning
Pricing Optimisation
With Dynamic Stress-Testing
Multi-Dimensional
Credit Risk Scoring
Risk
Grade
Pre-Selected
Top-Up Loan Offers
Contact Strategy Optimisation
Through Machine Learning
G1
G2
G3
G4
Loan lifetime projection
Default scenarios
time
Multi-Channel Marketing
Spend Optimisation

8. 7
Sophisticated web and mobile interfaces for optimal user experience
Loans funded
in as little as
30 minutes
Global
engineering
and product
team of ~200
Instant and
personalised
quote

9. Virtuous funding circle drives continual improvement
8
~45,000 pieces of data are analysed per application

10. 9
Simple, straightforward product with industry-leading returns

11. 10
Customers want to interact and be served by brands that are not a bank

12. 11
Our vision: We aim to originate $100 billion and create three million new
jobs a year
Low cost and capital light Better customer experience Global
Cutting edge tech & data
analytics

13. 12
37,000 businesses and counting…
THANK YOU

15. Selected Completed NOAH Transactions
Focus on Leading European Internet companies
Covering over 400 companies across 25 online
verticals, a broad range of over 500 investors as
well as 100+ online-focused corporates
Deep understanding of industry dynamics
Ability to add value beyond banking advice
Facilitates overall process and minimizes
management distraction
NOAH Advisors is globally well connected
and has direct access to virtually all key
players in the industry
Knowledge of and strong relationships with
potential buyers’ key decision makers
Proactively finds and unlocks attractive
investment opportunities for leading investors
Annual NOAH Conference in its 8th year
Over 40 years of combined relevant M&A experience
Routine execution of M&A and financing transactions
with sizes of several billion euros
30 successfully completed NOAH Advisors transactions
underline successful transfer of M&A competencies to
the Internet sector
Entrepreneurial mind-set, focused on growing the
business and establishing a reputation for excellence
Ability to deliver top results in short time frames
Highly success-based compensation structures align
interests of clients and NOAH Advisors, and demonstrate
conviction to deliver top results
Creative deal solutions
December 2014
September 2014
October 2014
May 2014
Sale of 100% of
for $800m to
Exclusive Financial Advisor to
Fotolia and the Selling Shareholders
Sale of 100% of
for €80m to
Exclusive Financial Advisor to
Trovit and its Shareholders
Sale of controlling stake in
to
Exclusive Financial Advisor to
Facile.it and its Shareholders
sold 100% of
for $228m to a joint venture between
Exclusive Financial Advisor to Yad2
and its Shareholders
Unique Industry Know-How
Unmatched Network and Relationships
Strong Investment Banking Competence
Full Commitment - We Are Entrepreneurs!
EUROPE’S LEADING INTERNET
CORPORATE FINANCE BOUTIQUE
September 2016October 2016
December 2016
Financial Advisor to Oakley Capital
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Marco Rodzynek
Managing Director & Founder
marco.rodzynek@noah-advisors.com
Jan Brandes
Managing Director
jan.brandes@noah-advisors.com
Justus Lumpe
Managing Director
justus.lumpe@noah-advisors.com
The NOAH Advisors Core Banking Team
Nikhil Parmar
Director
nikhil.parmar@noah-advisors.com
Acquisition of a Majority Stake in
by
from
at a valuation of €300m
Investment in
Exclusive Financial Advisor to KäuferPortal
and its Shareholders
by
84% Ownership
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Investment in
by
August 2017
Financial Advisor to EMK Capital
Acquisition of a Majority Stake in
by
at a valuation of $200m