SME lending toolkit Capitalise raises £10m to launch new services for accountants

In the ever-more competitive small business lending sector, lending marketplace Capitalise has a few new tricks up its sleeve along with £10m in fresh funding.

Unlike other lending marketplaces which target SMEs directly, Capitalise offers its services to accountants and advisors, enabling them to access lending and monitor their clients.

To date, the fintech has delivered over £1bn of lending offers from its panel of 200 capital providers via some 2,000 UK accounting firms that use its services.

“Everybody has had to think differently during the pandemic, including us, so we created a virtuous circle in which SMEs and their advisors are shielded from risk and helped to grow,” said Capitalise CEO and co-founder Paul Surtees.

Announced yesterday, Capitalise has raised the cash from Experian,QED Investors, Gauss Ventures, Hambro Perks and Post Finance at an undisclosed valuation.

What is known is how Capitalise intends to spend the money, with a host of new features and services for its accountant and advisor customers.

First up is a credit protection product called ‘Capital Reports’ which harnesses Experian’s credit data along with open banking to spot unforeseen risks among clients and their subsequent suppliers' credit positions.

“Managing credit risk is central to lender activity but SME owners typically overlook it. This restricts their growth and jeopardises their survival,” said Capitalise chief product officer and co-founder Ollie Maitland.

“Capital Reports will make an unprecedented and timely contribution to SMEs’ ability to survive and grow.”

As well as new features, Capitalise is also eyeing up new markets with South Africa first on its list for Q4 2021 and with more to follow.