By Ryan Weeks on Monday 28 November 2016
Leading invoice finance platform hits £1bn mark, with £500m of invoices funded in the past 14 months.
MarketInvoice has now funded £1bn of invoices through its marketplace lending platform. Founded in 2010, MarketInvoice has allowed thousands of small businesses to selectively factor their invoices over the past six years, tallying more than 20,000 transactions to date. SMEs can draw down anywhere between £10k and £3m against their invoices, licences and contracts using the platform.
To clarify, MarketInvoice has hit the £1bn mark in terms of the value of the invoices that have been factored, not in terms of money lent. However, the firm’s cumulative lending figure is not far behind, and will likely breach the £1bn mark in the first half of 2017.
MarketInvoice has continued to find origination success in what has been a difficult 2016 for the wider alternative finance space. The platform has financed £500m of invoices in the past 14 months alone.
“This is a huge milestone for us as a funding platform and I look forward to turning MarketInvoice into a mainstream provider for business finance,” said Anil Stocker (pictured above), CEO and co-founder of MarketInvoice. “Our whole team is proud to be supporting the back-bone of the British economy – businesses doing great work in media, technology, design, construction, manufacturing, education, and many more. This milestone is testament to the success of businessmen and women across the country.”
In addition to the funding milestone, MarketInvoice has also added Leeds City Region Enterprise Partnership (LEP) to its panel of local lending partners. The LEP has made an initial £250k available to be lent to SMEs via the platform, which equates to £2m annually when invested on a continuous basis. Invoices on the MarketInvoice platform typically take 45 days to be repaid.
MarketInvoice’s local authority lending partners also include the British Business Bank, Greater Manchester Combined Authority and West Oxfordshire District council. The platform says that more than £106.7m has been advanced to SMEs under these three schemes to date. MarketInvoice is not alone in having adopted a strong local focus, with Funding Circle and Edinburgh based business lending platform LendingCrowd following a similar path with various local authorities.
“Maintaining cash-flow is vital to small and medium businesses,” said Roger Marsh OBE, who chairs the LEP. “That is why the LEP is contributing to this platform, to help provide a solution for businesses facing a long wait for payment of their invoices. By quickly releasing finance that would otherwise be tied up in the short-term, business owners can keep up momentum with their activity and invest money back in the business where it is most needed.”