MarketFinance, which helps businesses access working capital and finance, has secured a £10m grant, shortly after it received a £50m loan from Viola Credit.
The new grant has been supplied by the Capability and Innovation Fund (CIF), which is run by Banking Competition Remedies Ltd (BCR). The capital will be used to “bring more choice and competition to the business lending industry.”
With this extra capital, the FinTech will extend its lending services to reach sole traders. It will also provide more finance options and build new partnerships with banks, FinTechs and technology companies.
The company claims is will match the £10m grant with money from its own funds.
MarketFinance CEO Anil Stocker said, “This is a difficult time for UK businesses who are desperately trying to find the right finance to keep their doors open.
“We know that customers find it hard to manage multiple finance products across multiple providers; it’s why many stay with the incumbent banks. We will deliver a solution that radically reduces the complexity of managing finances for our customers, combining the product sophistication of a large lender, with the user-friendliness of a FinTech.”
MarketFinance claims to have provided more than £3bn in invoice finance and businesses loans to thousands of UK businesses since 2011. The FinTech was also accredited to lend under the Coronavirus Business Interruption Loan Scheme, where it issues long term loans from £50,001 to £150,000 and revolving credit facilities from £50,001 to £5m to UK SMEs.
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