ArchOver has welcomed government support that it says meets the ongoing and increasing need for innovation.
The peer-to-peer business lender said the public has become reliant on technology, causing them to back funding that supports technological innovation.
The government has put in place multiple schemes to stimulate innovation, including grant funding through the likes of Innovate UK and the European Horizon 2020 and most recently the Future Fund.
These provide tax breaks benefiting investors such as the Enterprise Investment Scheme and Venture Capital Trust relief; and providing subsidies through research and development (R&D) tax schemes.
ArchOver said while many of these sources of finance can involve a prolonged application or fundraising process, claiming cash back from the HMRC R&D tax schemes has become a relatively straightforward process for small- and medium-sized enterprises (SMEs).
The platform helps innovative businesses by providing an advance against their R&D tax claims, meaning that companies have cash to spend on R&D now rather than waiting for HMRC payments. Last month the platform reported strong interest in this product.
“The government has long been a supporter of innovation, understanding its importance from both an economic and social perspective,” ArchOver said in a blog post on its website.
“From an economic standpoint it also understands the need to drive innovation from SMEs rather than purely relying on academia, as it is the SMEs that will drive future tax revenues.”
At the start of April, ArchOver outlined support for borrowers impacted by Covid-19.
This included: considering loan extensions, relaxing or delaying fees, partial facility amortisations, freezing repayments, refinancing or assistance finding new lines of funding.