“Banks? Where we’re going, we don’t need banks.” That’s how Christopher Lloyd’s famous line from the end of the first Back to the Future film runs in Simon Dixon’s head.
The former investment banker is launching Bank to the Future (BTTF), the world’s first “peer-to-peer” market to allow businesses to raise debt, equity or donations from consumers and investors in one place....
The business has caught the attention of Sir Richard Branson, who shortlisted it in his “Screw Business as Usual” competition to find innovative business models.
Mr Dixon, who campaigned for reform of the banking sector prior to setting up the company, claims that high street banks are gradually exiting the small business lending market.
“Other things are more profitable for them — they’re not really interested in small businesses. Banks would rather lend on credit cards secured by income or property rather than lending to limited liability businesses.
“We don’t think they’ll want to be in this market.”...
Mr Dixon wants BTTF to be a precursor to a full “entrepreneurs’ bank” that could take deposits and allow business owners to invest in a portfolio of other companies of their choosing.
“What we want to do is create a fully transparent financial institution where everyone can see what’s happened with their money, so business people can support business people,” he said.
Sir Richard said: “With recent scandals tarnishing the banking sector once again, there’s a real opportunity for positive change in the industry.
“I like the goals of BTTF, where everything is transparent and people can see what happens with their money.”