MarketInvoice has now facilitated over £500 million in funding for high-growth UK businesses since its launch in 2011, passing the half billion milestone yesterday. According to AltFi Data, £187m of this funding has been provided in 2015, with the company boasting an 11.7% share of UK P2P lending market origination. In the course of facilitating this impressive sum of funding, MarketInvoice has provided over 8,000 loans to over 1,300 registered businesses. The average loan size is £60k and all invoices listed for sale on MarketInvoice have been funded in full, the vast majority within seconds of being listed.
As can be seen from the chart above, MarketInvoice’s growth has been consistent and continuous. AltFi Data estimates that MarketInvoice will fund another £100m of invoices by the end of the year, producing 37% y-o-y growth.
“Reaching half a billion pounds of funding for small business is a great achievement for MarketInvoice. This is just the beginning though; we know that financial services is changing and that businesses like ours are driving that change. We’re bringing new ideas and products to an industry which has been devoid of innovation for decades. Our intention is to help hundreds of thousands of UK business accelerate their growth.”
MarketInvoice has also announced today that it has secured an additional £5 million investment from the UK-Government backed British Business Bank (BBB), taking the BBB’s total investment in the platform to £10 million. The new deal lasts until 2018. The Bank’s initial £5 million investment, made in August 2013, has already facilitated over £50 million of funding for small businesses, and on current estimates the Bank’s investment could ultimately result in over £100 million of funding.
This latest news adds to an exciting period of developments for MarketInvoice. As AltFi recently reported, the platform completed a $10 million (£6 million) Series A funding round in August, and will soon launch an expanded product set. This involves allowing businesses to access funds against licences, contracts, and subscriptions, as well as supplier finance where businesses can get finance to pay suppliers to complete large projects.
Mr. Stocker commented:
“The additional commitment from British Business Bank is further proof of our ability to quickly and transparently provide much-needed short-term cashflow finance to high growth businesses, we’re grateful for their support of our mission.”
“Our initial investment of £5 million in 2013 has since enabled over £50 million of invoice finance to be supported through MarketInvoice’s platform. We work to encourage greater choice and diversity in small business finance markets and I am pleased that we are able to commit a further £5 million, helping even more small and medium sized British businesses secure the vital short-term working capital finance that they need to grow, with the resultant positive effect on the wider UK economy.”
Join AltFi for its third annual Alternative Income Forum, exploring closed-ended funds (investment trusts) specialising in generating an income using alternative assets such as specialist finance, P2P lending, direct lending, asset leasing and more. Hear from the leading investors and fund managers in this rapidly growing market.