Self-made multi-millionaire Samuel Leeds has already agreed to almost £3million in loans and is inviting aspiring entrepreneurs to pitch for a slice of the cash.
He is challenging high street banks which he claims are profiting from customers by investing their savings in property – while often refusing to lend them funds to do the same thing.
Mr Leeds, who runs Property Investors, is offering the same interest rates as the major banks and has already agreed almost £3million in loans, of which £1,150,000 has been paid out.
He expects to have emptied the £11million pot within a year and by then have recouped the money to be able to go again and help more people.
So far the property entrepreneur has granted seven applicants grants for their businesses.
Claudette Johnson, from Birmingham, was the first person to have a loan approved. She applied for £99,000 to refurbish her investment property in Nottingham and add value to it.
The house, which she paid £258,000 for at auction, has 0.3 acres of land at the back where she is also hoping to build three apartments.
She said: “I’m exploring that option and I could be back at a later stage to apply for another Samuel Leeds loan to help with that because the process is so much faster.
“I had previously been trying to get a loan elsewhere and after four traumatic months, it had still not come through. It was also costing me extra money in additional actions I had to take.
“Generally, I think the amount of time banks take to get through the loan system is putting investors’ projects at risk. This has come as a godsend to me.
“Other lenders’ criteria are often too complex, long and inconsistent. They keep moving the goalposts which puts pressure on investors unnecessarily.”
Mr Leeds has amassed 159,000 Instagram followers and 430,000 subscribers to his YouTube channel alone. He has been able to remain successful as his aim is to help ordinary people get on the property ladder.
He started out with nothing but has been able to grow his net worth to over £20million
He continued: “My team and I will be vetting applications for investment schemes to make sure they are viable. We will also be giving guidance to investors on their deals.”
He added: “A lot of people find good property investment deals but fail to get the finance for them for reasons such as they’re too young or they lack experience. What we look at, as property experts, is whether the deal stacks up. If it does, we’ll lend the money and that way we’re filling a big gap in the market.”