Richard Branson has founded Virgin Money to facilitate such lending. The firm will formalize lending among family and friends - a major source for startup money. Since these relationships can be stressful, Branson hopes to uncomplicate such business arrangements. He's offering to match business loans made by family/friends after good credit has been established.
Implications - Virgin Money operates as a third-party to broke money repayments between friends and family members. With emotions dragged into the mix, it can be hard to ask for the money owed by loved ones.