MONTREAL, Nov. 25, 2011 /CNW Telbec/ - IOU FINANCIAL INC. ("IOU Financial" or "the Corporation") (CNSX: IOU) announces its financial results for the three and nine months ended September 30, 2011.

IOU Financial's net loss attributable to the common shareholders for the quarter ended September 30, 2011 was $169,997 versus $288,170 for the quarter ended September 30, 2010.  Net loss per share attributable to the common shareholders was $0.01 for the quarter ended September 30, 2011 versus $0.04 attributable to the common shareholders for the quarter ended September 30, 2010.  The decrease in net loss for the quarter was primarily due to a decrease in accounting fees incurred and relating to financial compliance and assistance with the company's conversion to IFRS (International Financial Reporting Standards) back in the third quarter of 2010.

IOU Financial's net loss for the nine month period ended September 30, 2011 is $3,647,853 versus $1,020,939 for the equivalent period ended September 30, 2010.  IOU Financial's net loss attributable to the common shareholders for the nine month period ended September 30, 2011 was $3,635,238 versus $902,430 for the nine month period ended September 30, 2010.  Net loss per share attributable to the common shareholders is $0.19 for the nine month period ended September 30, 2011 versus $0.12 attributable to the common shareholders for the nine month period ended September 30, 2010.  The increase in net loss for the period was primarily due to the difference in accounting treatment between IFRS and Canadian GAAP relating to the reverse takeover of IOU Central and its US subsidiary. The difference between the fair value of IOU Central and the net book value of IOU Financial (plus transaction costs) has been expensed under IFRS.

IOU Financial's financial statements and Management Discussion & Analysis for the three and nine months ended September 30, 2011 have been filed on SEDAR and are available at www.sedar.com.

About IOU Financial

IOU Financial, through its subsidiaries IOU Central Inc., a private corporation existing under the laws of Canada, and IOU Central Inc., a private corporation existing under the laws of Delaware, operates an Internet-based lending platform aimed at small businesses throughout the United States that IOU Financial believes are under served by banks today.  To learn more visit: www.ioucentral.com

Forward Looking Statements

Statements made in this MD&A that describe the IOU Financial's or management's budgets, estimates, expectations, forecasts, objectives, predictions or projections of the future may be "forward-looking statements", which can be identified by the use of the conditional or forward-looking terminology such as "anticipates", "believes", "estimates", "expects", "may", "plans", "projects", "should", "will", or the negative thereof or other variations thereon. IOU Financial cautions that, by their nature, forward-looking statements involve risks and uncertainties, and that its actual actions and/or results could differ materially from those expressed or implied in such forward-looking statements, or could affect the extent to which a particular projection materializes.

Many factors and assumptions could have an impact on the materialization of the IOU Financial's projections, including, but not limited to, liquidity risks, risks inherent in growing a new business, dependence on third-party service providers, credit risks, competition, regulatory risk, and other factors that are beyond its control. IOU Financial cautions that the foregoing list of factors is not exhaustive. For more information on risks and uncertainties, and assumptions that would cause the company's actual results to differ from current expectations, please refer to the section "Risks and Uncertainties" of this Management's Discussion and Analysis. The forward-looking statements in this MD&A reflect IOU Financial's expectations as at the date of this MD&A. IOU Financial does not undertake any obligation to update publicly or to revise any such forward-looking statements, unless required by applicable legislation or regulation.

The CNSX has not reviewed and does not accept responsibility for the adequacy or accuracy of this release.