GROWTH Street has received £7.5m of financial backing to scale up the peer-to-peer business lending platform.
The funding round was led by investment trust Merian Chrysalis and backed by Deutsche Bank’s former co-head of corporate banking and securities Rob Rankin and Mortgage Advice Bureau chief executive Peter Brodnicki.
Existing Growth Street investors are also contributing to the round, including Christiaen van Lanschot, who serves as Growth Street’s chairman, Paolo Cuniberti, former chief executive of Mediobanca UK, and Pi Capital boss David Giampaolo.
The funding round values Growth Street at £27.5m and will help support its overdraft-style GrowthLine product.
“New regulations and technologies are driving rapid change within business lending,” Greg Carter (pictured), chief executive of Growth Street, said.
“In a short period we have proven that ambitious businesses can thrive with GrowthLine. We are now working to expand access to GrowthLine and strike new relationships throughout the financial services ecosystem.
“I’m delighted Merian and leading investors share our view that business owners deserve better.”
Richard Watts, co-fund manager of Merian Chrysalis, said Growth Street has “built a differentiated product that provides flexible funds to small- and medium-sized enterprises (SMEs) that “fills a vacuum” left by high street banks.