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MarketInvoice has expanded its mission in the field of business financing by launching business loans today. This will complement their set of financial decisions for invoices, which will enable them to better serve the needs of the British business in working capital.
One of Britain’s well-known fintech companies MarketInvoice is launching a business lending service. It will provide loans to its customers for the first time. MarketInvoice is taking on the big banks with a move into lending for small business, a market worth £35 billions a year.
This fact was announced on November 1, 2017. MarketInvoice will provide financing into short-term loans of between £10k and £100k.
Business loans will be available to all UK businesses with a minimum turnover of £70,000 which has been trading for at least 6 months. The solution has been beta-tested over the last three months and received positive feedback from users and partners. During this period, over £1m was advanced to UK businesses. Funds should be made available within 24 hours of application.
MarketInvoice co-founder and CEO Anil Stocker said:
“This fits into our goal to support a wider range of companies and to give owners the help they need to focus on their business ambitions, rather than their funding challenges. Our experience in underwriting business credit, coupled with our technology and people means we are well-placed to serve this demand.
PSD2 is a regulatory change that is going to be a real catalyst for us because we’re able to get access to SME (small to medium-sized enterprise) customer information. We can use things like machine learning and artificial intelligence to build better credit scores with this data. I think the banks are starting to realize that this world they’ve had guarded around customer data for so long, now it’s starting to open up.”
Business loan customer Melanie Goldsmith, co-founder of edible cocktail pastilles Smith & Sinclair stated:
“It was a seamless experience. We’re growing 100% year-on-year and as we head into the Christmas period, the business loan from MarketInvoice helped us to order the stock we needed to fulfil orders to individuals and large national retailers.”
MarketInvoice also plans to cooperate with a major bank, but details of the deal were not disclosed.
The launch announcement comes as MarketInvoice rebrands, representing its evolution into a business finance company. It will also bring with it a rebrand, including a new logo and advertising campaign.
It is necessary to add that in recent months, a series of digital start-ups, including Tide and Starling, began working with business banking services. RBS is increasing the fund in the amount of £833 million in order to stimulate the switching of business accounts with the price in order to avoid the sell-off of its Williams & Glyn. It hopes that this will contribute to further competition.