The Federation of Small Businesses (FSB)’s quarterly Small Business Index (SBI) recently revealed that lending to the U.K. businesses has hit an all-time low with fewer than one in ten (9%) small firms applying for finance in Q1 2022 – the lowest proportion since SBI records began.
Hot on the heels, London-based fintech credit and payments company MarketFinance has topped up with £100 million in a debt raise from Deutsche Bank. The company will use the new cash to offer new lending to support the U.K. SMEs with their investment and working capital needs. This will include loans to the 3.2 million under-served sole traders and partnerships in the U.K.
According to the fintech, the U.K. SME borrowers will now be able to access between £10,000 and £500,000 within 24 hours of applying to aid their growth plans.
Backed by Northzone, Barclays Bank UK and Mouro Capital, the credit platform aims to make finance frictionless by solving the payments and cash flow issues. MarketFinance uses smart technology to deliver better access to faster, more affordable payments and finance, with one-to-one personal help whenever businesses need it.
Marion Delille, VP of capital markets at MarketFinance said: “Closing a funding deal from a high calibre institution like Deutsche Bank is a huge milestone for our business, and a testament to our lending track record, our technology, and our people. This facility will allow us to continue to deliver on our mission to make finance frictionless for our SMEs.”
“MarketFinance continues to innovate by serving sole traders and partnerships by embracing the move to embedded finance. We’re making our products available via key platforms, helping businesses manage their payments and gain seamless access to finance when they need it most. Businesses need funding in the good times and the bad, and we’re right here standing by them,” added Anil Stocker, CEO and co-founder at MarketFinance.