Buy2letcars group posts 2019 accounts, group now £10.9 million in the red

January 7, 2021January 5, 2021 ~ Brev ~ 3 Comments

The Buy2Letcars group of companies, consisting of Buy 2 Let Cars Limited (which borrows money from investors promising returns of up to 11% per year), Wheels 4 Sure (which uses the money to lease cars) and Raedex Consortium Limited (parent holding company) have all filed their accounts for the year ending December 2019.

The accounts have been filed using small company exemptions and did not include profit and loss accounts, and were unaudited. They therefore contain limited information.

What little we do know includes that the overall group has continued to lose money (as it did in 2018 and 2017). Raedex Limited shows net liabilities expanding from £9.5 million in 2018 to £10.9 million in 2019, while the "retained profits" line fell from minus £14.1 million to minus £18.1 million (suggesting losses of around £4 million over the year).

Buy2LetCars increases to £25 million in funds; company hits road with misleading adverts

October 24, 2019January 5, 2021 ~ Brev ~ 2 Comments

Buy2LetCars has released its accounts for December 2018.

The figures for Raedex Consortium Limited, the group holding company, show limited information as the company used small company exemptions and did not release a profit and loss statement, or have the accounts audited.

The figures are however clear that the overall company remains loss-making, with the profit and loss account falling from minus £9.3m to minus £14.1m. Net assets decreased from an already negative £2.3 million to minus £9.5 million.

Buy2LetCars files 2017 accounts

October 18, 2018January 5, 2021 ~ Brev ~ Leave a comment

Buy2LetCars, which offers unregulated investment in cars paying up to 11% per annum, has filed its accounts for 2017.

There are three companies in the Buy2LetCars group: Buy 2 Let Cars Limited, Rent 2 Own Cars Limited and Raedex Limited. Raedex Limited is the holding company for the first two.

Due to its small size, the company's accounts were exempt from independent auditing, and the information that can be obtained from them is limited.

At the balance sheet date of 31 December 2017, the liabilities of the holding company exceeded its assets by £2.9 million. This was an improvement from December 2016 when net liabilities were £6.8 million. A large contribution to this improvement was £4.8 million of goodwill which was put on the books in the 2017 financial year, described as "the expected value of future profits dervied from existing contracts".

Buy 2 Let Cars – unregulated investment in rented cars offering 7-11% per annum

June 28, 2018January 5, 2021 ~ Brev ~ 11 Comments

Buy 2 Let Cars Limited offers the opportunity to invest in lease cars over a term of three years as follows:

Level 1: invest £7,000-£10,000 and receive a return of 7% per year
Level 2: invest £14,000 to fund "one unit" and receive a return of 9% per year
Level 3: invest to fund "two to six new units" (presumably £28,000 - £84,000) and receive a return of 10% per year
Level 4: invest to fund "7 or more units" (£98,000 or more) and receive a return of 11% per year

Investors' funds are used to purchase a lease car which is then leased out to a borrower. The borrower's lease payments are used to generate the promised return.

If the borrower defaults on their payments, and Buy 2 Let Cars is unable to find another borrower, Buy 2 Let Cars will attempt to sell the car to return investor's capital. If the amount realised is less than the investor invested, Buy 2 Let Cars promises to make up any shortfall up to a maximum of 85% of the amount invested.

Continue reading for a review of Buy 2 Let Cars' investment.