MarketFinance raises £100m in debt financing from Deutsche Bank
Fintech platform MarketFinance has raised £100m in debt financing from Deutsche Bank, as the firm expands its lending capacity to support underserved small and medium-sized businesses in the UK.
The credit and payments provider will be offering businesses, including 3.2 million sole traders and partnerships, access up to £500,000 in financing within 24 hours of applying.
“Closing a funding deal from a high calibre institution like Deutsche Bank is a huge milestone for our business, and a testament to our lending track record, our technology, and our people. More than that, this facility will allow us to continue to deliver on our mission to make finance frictionless for UK SMEs,” said Marion Delille, vice president, capital markets at MarketFinance.
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MarketFinance was founded in 2011 and has since helped businesses collect more than £20bn in payments and has advanced over £3bn of credit through working capital and business loans. The group is backed by venture capital firms Mouro Capital and Northzone, as well as Barclays Bank UK.
The funding from Deutsche Bank comes at a time when lending to UK businesses hit an all-time low. According to the Federation of Small Businesses’ Small Business Index, fewer than one in 10 small firms applied for finance in the first quarter of the year, which is the lowest proportion since records began.
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“The fintech movement started in the shadow of the 2008 financial crash, and has since become a vital part of the finance ecosystem in the UK and exported globally,” said Anil Stocker, chief executive officer and co-founder.
“We’re continuing to innovate by serving sole traders and partnerships for the first time and by embracing the move to embedded finance. 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.”
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