RM FUNDS – the investment manager of marketplace lender RM Secured Direct Lending (RMDL) – has promised up to £10m in funding for Manchester-based asset-backed lender Praetura Commercial Finance.
This is the first investment of its kind between RMDL and Praetura Commercial Finance, and it will help Praetura offer more property term loans, invoice discounting, plant and machinery loans, and cashflow loans.
An initial £2m investment has already been made, along with a flexible funding line for future growth up to the value of £10m. The money has been packaged as a bespoke five-year loan note programme.
“We have worked closely with Praetura Group over the years and our commitment to another of their portfolio companies reflects our high degree of confidence in the business and its management team,” said Pietro Nicholls, co-manager of RMDL. “We continue to see a great deal of opportunity to provide the strategic funding to enable businesses like PCF to expand and deliver their growth plans.”
The senior team at Praetura Commercial Finance has a combined 80 years of experience in asset-based lending, and it works with a remit to create innovative working capital solutions for small- and medium-sized enterprises.
“Praetura Commercial Finance has grown from strength to strength, consistently exceeding its business plans and delivering value for clients and shareholders alike”, said Lisa Wood, managing director of Praetura Commercial Finance.
“The funding announced today will play a crucial role in our ability to grow our business further through an unwavering client relationship approach, increase our portfolio of loans and continue to provide transformational funding to our clients, enabling them to achieve their ambitions.”