The bank will be using MarketInvoice’s technology to provide invoice financing to its business customers.
MarketInvoice has forged the first deep partnership between a fintech and a major bank serving business customers in the UK.
The fintech lender has agreed to a deal with Barclays, allowing the banking giant to use the platform’s technology to provide selective invoice financing to its business customers. As part of the agreement, Barclays will take a ‘significant minority stake’ in MarketInvoice.
Over the long-term, the invoices will be funded by Barclays – but the language used in the announcement would suggest that MarketInvoice’s investor base will provide the funding for the time being.
In a press release, it is said that the MarketInvoice partnership is a key part of Barclays’ plans to invest in new business models for growth.
Anil Stocker (pictured, left), MarketInvoice's CEO, said in a statement: “It’s exciting to be combining the knowledge and footprint of a 325-year old British banking institution with MarketInvoice’s tech-led online finance solutions. Bringing this together in a strategic partnership can only mean good news for UK businesses, with the segment we’re targeting responsible for upwards of 60 per cent of UK employment.”
The joint proposition will be introduced to Barclays’ small business clients over the coming months in regions across the UK, including the East Midlands, West Midlands, Herts and North West London. A nationwide roll-out is due to begin next year.