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Ablrate Finance Glossary

Ablrate Finance Glossary

We list these definitions for clarity when reading the FAQ and Terms and the capitalised words in each FAQ

“FSMA” Financial Services and Markets Act 2000.

“HMRC” Her Majesty’s Revenue & Customs.

“Borrowing Proposal” a document or documents describing the details of the lending opportunity and the potential Borrower, as approved by the Borrower. This includes any document uploaded by the borrower or authorised to be uploaded for viewing by Lending Members.

“Lender” a Member who has granted a Loan under a Finance

“Lender of Record” a Member who originally made a Micro-Loan to a Borrower, or who subsequently purchased a Loan (or parts thereof) in the Secondary Market.

“Lending Member” means a registered member of the Platform whose account has been approved by Ablrate

“Lenders’ Agent” each Loan may involve several hundred Members and it is therefore not practical for each Lender, whose Loan will be aggregated with all other Lenders, to sign each Loan Document. It is also not practicable for each Lender to make decisions as to the appropriate action to take if there is a Default by a Borrower. In addition, the specific Lenders of Record may change from time to because of sales on the Secondary Market. This makes it necessary for the Lenders to appoint an agent to hold the security from time to time. Therefore, the Lenders’ Agent and Security Agent will act as your agent or trustee in respect of these matters.

“LLP” a limited liability partnership registered at Companies House in the UK and incorporated pursuant to the terms of the Limited Liability Partnerships Act 2000

“Marketing Date” the day at which a Borrowing Request is available to Members to make Bids

“Marketing End Date” the day at which the Borrowing Request is ended and is no longer available for bidding by Members. A Marketing End Date is a date set at the outset of the Borrowing Request, however, if a Borrowing Request has received enough Bids to complete the Loan then it will no longer be available for investment and this date will become the Marketing End Date.

“Finance Documents” means the Finance Documents relating to the transaction, the Required Security, any Personal Guarantees, cross guarantees or other documents securing and detailing and setting out the terms of the Loan.

“Draft Borrowing Request” where a Borrower submits a request to Ablrate via the Platform for consideration by Ablrate to approve it as a Borrowing Request to be displayed to Lending Members on the Ablrate Platform.

“Borrowing Request” where a Draft Borrowing Request has been approved by Ablrate for live bidding by Members.

“Scheduled Borrowing Request” a Draft Borrowing Request which has been approved by Ablrate for a Marketing Date in the Future. Such Scheduled Loans are not fully approved for investment and may be withdrawn at any time. Cancelation of a Scheduled Borrowing Request will have the effect of cancelling all Pledges.

“Bid or Bidding” where a Lender makes an irrevocable commitment to make Loan to a Borrower (subject to all documents being completed)

“Loan” a Borrowing Request becomes a Loan if all of the following criteria have been met:

a)     The Borrowing Request has attracted enough Bids (i.e individual to be filled to the amount requested or such other amount that is detailed in the Borrowing Proposal as a minimum figure

b)    That the Borrowing Request has been approved by Ablrate and marked as ‘Pending Borrower Approval’;

c)    That the Finance Documents have been completed and signed;

d)    That the Loan has been accepted and approved by the Borrower

“Micro-Loan” means the individual and separate Loan made by a Lender to a Borrower which when aggregated with other Lending Members’ Micro-Loans becomes a single amount of money sent to the Borrower in completion of their Borrowing Request made to Lending Members.

“Scheduled Pledge” where a Member is able to make a soft commitment to make a Loan without the requirement for deposit of monies (such funds to be deposited on the Marketing Date or the Scheduled Pledge is Canceled).

“Underwriting Pledge” where a Member makes a irrevocable commitment of funds to underwrite a Borrowing Request

“Underwrite” where a Member (or a separate third party enters who has entered into an agreement directly with the Borrower) makes an Underwriting Pledge to purchase any remaining balance of a Loan at the Marketing End Date of a Borrowing Request.

“Instant Returns” are payments made by the Borrower based on a time and interest rate calculation. For a full explanation please see here

“Username” a name selected by the a Member to keep their identity confidential from other Members, Borrowers and Sponsors when commenting on the public blog.

“FAQ” The Ablrate Frequently Asked Questions section as amended from time to time and posted on the Platform.

“Registered Member” an individual, incorporated entity, partnership or other organisation or entity that has completed all identity information and been approved as a Member.

“Membership” access to the Ablrate Platform with the ability to deposit funds, withdraw funds make bids for Loans in the Primary Market and Secondary Market.

“Ablrate Account” an account maintained on the Ablrate Platform where Ablrate record all deposits withdrawals and payments, such as interest and capital repayments received from the Borrower).

“Minimum Loan Amount” the minimum investment in a Loan that a Member must make, as indicated on each Loan.

“Ablrate Platform” means the electronic platform at www.ablrate.com

“Listing Fee” means any charge made by Ablrate for listing a Borrowing Request on the Platform.

“Availability Period” means the availability to the Borrower of the Loan facility detailed in the Loan Finance Documents.

“Secondary Market” the functionality on the Ablrate Platform to allow the selling and buying of Loans (or parts thereof) between Members.

“Security” a charge, guarantee, or other documents or other security which has the purpose of securing any obligation of the Borrower to the Lending Member

“Security Agent” an Ablrate company that holds the sepcific security on  Loan on behalf of Lenders

“Security Documents” any and each document entered into by the Borrower, or persons guaranteeing or creating security for the liabilities of the Borrower in relation to the Borrower’s obligation under the Finance Documents.

“Sponsor” an approved introducer to the Ablrate Platform.

“Terms” the Terms and Conditions

“Ablrate” the trading name of the Platform operator, Aviation and Tech Capital Limited.

“Ablrate Assets Ltd” a company whose number is 08914762 and whose registered office is at Badgemore House, Gravel Hill, Henley-on-Thames, Oxon, RG9 4NR.

“Ablrate Companies” Aviation and Tech Capital Limited, Ablrate Assets Limited and any other affiliated companies.

“UK” means the United Kingdom of Great Britain and Northern Ireland.

“Aggregate Loan” each of the micro-loan parts loaned into specific and separate Loans that when aggregated together form the entire Loan to a Borrower as a result of a successful Borrowing Request on the Ablrate Platform.

“Borrower” an incorporated  company or limited liability partnership to whom monies are lent via the Platform under the terms of the Finance Documents.

“Client Money Account” a designated client money account with NatWest Bank held in the name of Ablrate Client Account.

“Connected Party” means a director, shareholder or employee of of a Borrower, Aviation and Tech Capital, Ablrate Assets and its employees, directors and approved Sponsors.

“Default”  an Event of Default or Potential Event of Default as provided under the Finance Documents.

“DPA” the Data Protection Act 1998.

“ATC” Aviation and Tech Capital Limited (company number 07940046) with the registered office at C/O Montgomery Swann, Scotts Sufferance Wharf, 5 Mill Street, London, SE1 2DE (trading as “Ablrate”).

“Electronic Messaging” email from an Ablrate.com account holder or any internal messaging service provided by the Platform.

“Affiliate” an entity or person that is under common control or is significantly influenced in any other manner or affiliated to such person or entity.

“Event of Default” means any event or circumstance listed in clause 12. Events of Default can be specific to each Loan, or determined by the characteristics of each Loan. Any such additional Events of Default will be detailed in the Finance Documents.

“Arrangement Fee” means the arrangement fee charge by Ablrate to the Borrower as detailed in the Finance Documents.

“Service Fee” means the ongoing fee charged to a Borrower during the term of the Loan

“FCA” The Financial Conduct Authority.

“FCA Client Money rules” the FCA requirements for firms handling client money as set out in chapter 7 of the FCA’ s client assets sourcebook.

“FCA Rules” means the rules, principals, codes and guidance in the Handbook of Rules and Guidance issued, and updated from time to time by the FCA.

“Force Majeure” any circumstances outside the control of Ablrate including, but not limited to, failure relating to connectivity of internet service providers, utility services, Ablrate lenders ability to connect to the internet, configuration of Lenders computers used to access the Platform, acts of God or any action taken by, or not taken by public authority, including without limitation imposing failing to grant a necessary license or consent

Last Updated 5th September 2016

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