Errol Damelin

Errol Damelin
Born 23 August 1969
South Africa
Ethnicity Jewish
Alma mater University of Cape Town
Boston University
Occupation entrepreneur
Organization Wonga.com
Known for founding Wonga.com
Children 3

Errol Damelin (born 23 August 1969, South Africa) is a British-based entrepreneur and business owner. He was the founder and chairman of Wonga, a British consumer finance company.

Early life

Errol Damelin grew up in a Jewish family in South Africa where he attended the University of Cape Town. Following his graduation in 1992, he made aliyah (immigrated to Israel). He began his career working as a corporate finance banker at an Israeli bank that later merged into Israel Discount Bank.[1] He also completed an MBA from Boston University.

Career

In 1997 Damelin founded his first company Barzelan, a producer of galvanised steel wire based in Beit Shemesh, Israel.[2] Prior to setting up Wonga, Damelin founded Supply ChainConnect.

In 2007, Damelin founded Wonga.com, a web-based short term loan company in the UK. Wonga has since launched a number of new products and services including Wonga for Business, which is designed to provide short-term cash flow solutions for small- and medium-sized businesses.[3][4] Wonga has come under increasing pressure from the media amidst hundreds of allegations of fraud and exploitation of the most vulnerable in society.[5] Damelin has called for better regulation of the consumer lending sector and of the wider financial services industry within the United Kingdom.[6] The Office of Fair Trading (OFT) is currently responsible for regulating the industry. However, from 2014, responsibility for consumer lending companies will move to the Financial Conduct Authority (FCA), a change Damelin welcomes. In a statement published in The Guardian newspaper, he disclosed that he felt no moral personal issues relating to Wonga's much criticised trading ethics.

In June 2014 he stepped down from the management of Wonga. Wonga stated that Damelin wanted to "begin an orderly exit from the company" and to focus on "new business ventures".[7] About two weeks after he stepped down, Wonga was required by the Financial Conduct Authority to offer about £2.6 million in compensation to customers for poor historic debt collection practices, including sending fake solicitor letters to customers.[8]

Financial interests

Damelin is a major shareholder in Wonga.com, owning 16.8m shares through Castle Bridge Ventures, an offshore trust based in the British Virgin Islands.[9]

In 2014 the Daily Mail estimated Damelin's personal wealth as more than £34 million.[10]

Awards

Damelin has won a number of awards, including being named Entrepreneur of the Year at the UK's Growing Business Awards,[11] Founder of the Year at the TechCrunch Europas,[12] The Guardian's Entrepreneur of the Year, Ernst & Young Entrepreneur of the Year for London and Digital Entrepreneur of the Year.[13] Wonga is also ranked in the Sunday Times Tech Track Top Three, with 2012 seeing the organisation being awarded "fastest growing company" at the Media Momentum awards in Berlin.

Personal life

Damelin is separated from his wife, and has three children.[14][15]

Damelin is active in Jewish charities, and has appeared on panels and discussions for World Jewish Relief and Jewish Care.[15][16]

References

  1. ↑ Wonga chief speaks to the JC
  2. ↑ FT profile of Errol Damelin
  3. ↑ London Leweb – Errol Damelin
  4. ↑ Andrew Cave (13 May 2012). "Wonga's Ice-cool chief Errol Damelin can take the heat". Daily Telegraph. Retrieved 26 June 2014.
  5. ↑ "Wonga.Com Account fraud?". Watchdog (BBC). 12 September 2012. Retrieved 26 June 2014.
  6. ↑ James Quinn (30 June 2013). "Wonga boss Errol Damelin: it's time to push the bad guys out of payday loans". Daily Telegraph. Retrieved 26 June 2014.
  7. ↑ Scott Campbell (13 June 2014). "Wonga boss Errol Damelin quits, weeks after chief exec". Daily Telegraph. Retrieved 25 June 2014.
  8. ↑ Rupert Jones (26 June 2014). "Wonga's fake legal letters passed to police". The Guardian. Retrieved 26 June 2014.
  9. ↑ "Wonga sets £1.2bn target" by Simon Duke in The Sunday Times, Business section, 10 November 2013, p. 2.
  10. ↑ Sean Poulter (25 June 2014). "Why isn't Wonga in the dock? Fury at payday lender over bogus legal letters used to bully debtors". Daily Mail. Retrieved 26 June 2014.
  11. ↑ The 2010 Growing Business Awards
  12. ↑ The Europas European Startup Awards 2010 – The Winners and Finalists
  13. ↑ Winners of the 2010 Digital Entrepreneur Awards
  14. ↑ Mark Duell (20 August 2013). "Founder of payday loan firm Wonga splits 'amicably' from wife of 15 years". Daily Mail. Retrieved 25 June 2014.
  15. ↑ 15.0 15.1 "The JC Profile: Errol Damelin, payday loan king". Jewish Chronicle. 3 October 2013. Retrieved 25 June 2014.
  16. ↑ Sandy Rashty (3 October 2013). "Jewish Care attacked over Wonga appearance". Jewish Chronicle. Retrieved 25 June 2014.

External links