MarketFinance raises £100m from Deutsche Bank
After hitting profitability last year, MarketFinance is continuing to target unicorn status.
Fintech credit and payments company MarketFinance has raised debt financing from Deutsche Bank to part-fund up to £100m of lending to UK SMEs.
The company will also expand its lending capacity to now include under-served SMEs, including the UK’s 3.2 million sole traders and partnerships.
MarketFinance says it will offer competitive rates and terms while continuing to serve limited companies and LLPs.
UK SME borrowers will now be able to access up to £500,000 within 24 hours of applying.
“[T]his facility will allow us to continue to deliver on our mission to make finance frictionless for UK SMEs,” MarketFinance VP capital Markets Marion Delille said.
The decision to expand its loan offerings comes as the results from the Federation of Small Businesses’ quarterly Small Business Index show that lending to UK businesses is at an all-time low.
Just 9 per cent of small firms applied for finance in Q1 2022, the lowest proportion since SBI records began.
“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.”
MarketFinance reached profitability last year after a 113 per cent increase in revenue.
This boost was driven largely by the demand for working capital during the pandemic, product development to offer embedded finance with its patterns and its involvement in CBILS and RLS lending schemes.
Now the fintech has its sights set on reaching unicorn status, as it continues to expand its lending capabilities to UK SMEs.