IOU Financial Inc. Announces the Filing of its Interim Consolidated Financial Statements for the Three and Nine Months Ended September 30, 2012

MONTREAL, Nov. 28, 2012 /CNW Telbec/ - IOU FINANCIAL INC. ("IOU" or "the Company") (CNSX: IOU) recorded revenue for the quarter ended September 30, 2012 of $354,518 versus $34,366 for the quarter ended September 30, 2011 as well as deferred revenues of $191,280 compared to $91,423 as at December 31 2011. The Company closed its second quarter of fiscal 2012 with a net loss of $504,817, or $0.02 per share, compared with a net loss of $171,400 or $0.01 per share during the same quarter in 2011.

The Company recorded revenue during the nine month period ended September 30, 2012 of $825,039 versus $50,693 for the nine month period ended September 30, 2011. The Company recorded a net loss for the nine month period ended September 30, 2012 of $1,289,032 or $0.04 per share, compared with a net loss of $2,111,347 or $0.11 per share during the same period in 2011.

At the end of September 30 2012, total assets stood at $4,919,740 compared with $3,346,513 on December 31, 2011, and consisted mainly of cash on hand of $641,173, commercial loans receivable of $3,996,613, sales taxes and other receivables of $93,887 and prepaid and deposits of $18,099, as well as intangible assets of $144,545. Total liabilities, in the amount of $1,948,681 consisted primarily of credit facility financing of $1,350,921, account and trade payables of $403,054 and deferred revenues of $191,280. Shareholders' equity showed a surplus of $2,971,059 compared with a surplus of $2,579,053 on December 31 2011.

IOU Financial's financial statements and management discussion & analysis for the Period ended September 30, 2012 have been filed on SEDAR and are available at

About IOU Financial Inc.

IOU Financial Inc. ("IOU"), via its U.S. subsidiary, IOU Central Inc., operates an online lending platform which services store-front businesses (traditional and internet-based) throughout the United States, that it believes are under served by banks today.  IOU allows these businesses to obtain loans of up to $100,000, without having to resort to more expensive factoring type products. Loan applications are done online and businesses can receive funding in as little as two business days. The Company's approach to lending is unique. Its underwriting model looks holistically at a business' financial realities, with an emphasis on its day-to-day cash flow trends, while its micro-payment system allows it to service the loans on a daily basis for easy cash flow management. To learn more visit:

Forward Looking Statements

Certain information set forth in this news release may contain forward-looking statements that involve substantial known and unknown risks and uncertainties. These forward-looking statements are subject to numerous risks and uncertainties, certain of which are beyond the control of IOU including, but not limited to, the impact of general economic conditions, industry conditions, dependence upon regulatory and shareholder approvals, the execution of definitive documentation and the uncertainty of obtaining additional financing. Readers are cautioned that the assumptions used in the preparation of such information, although considered reasonable at the time of preparation, may prove to be imprecise and, as such, undue reliance should not be placed on forward-looking statements. IOU does not assume any obligation to update or revise its forward-looking statements, whether as a result of new information, future events, or otherwise.

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


For further information:

Please contact:

Philippe Marleau
Chief Executive Officer
(514) 789-0694 ext. 225

Mayco Quiroz
Chief Financial Officer
(514) 789-0694 ext. 298

Mailing Address

IOU Financial Inc.
600 TownPark Lane
Suite 100
Kennesaw, GA 30144

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