Varengold Bank AG to provide £45m to UK SMEs through MarketInvoice
- German Bank Varengold enters strategic partnership with MarketInvoice
- MarketInvoice reaches landmark £1.5b funding milestone
- Confidential invoice discounting take-up driving interest from institutional investors
18th September 2017, London: Business finance company MarketInvoice has signed an agreement with Varengold Bank AG to provide £45m funding annually on its invoice finance platform. This will fund working capital solutions for businesses across the UK.
Overall, sums advanced to UK businesses from institutional investors via MarketInvoice have increased more than 4-fold since 2014 from £27.8m to £116.3m in 2017. Cumulative funding from institutions stands at £296.2m which represents a quarter (26%) of the total funds advanced to UK businesses.
MarketInvoice has today reached the landmark milestone of providing £1.5b funding to UK businesses. The first £1b was achieved after 5 years of trading and the recent £500m has been provided in just the first 9 months of 2017. MarketInvoice has now funded over 70,000 invoices, helped thousands of businesses and effectively supports over 18,700 jobs across said businesses driving UK economic progress.
The recent increase in interest from global institutions and rise in funding levels has come since the launch of MarketInvoice’s confidential invoice discounting solution and mirrors the up-take of the product by UK businesses. The confidential invoice discounting facility, launched earlier this year, offers businesses a funding line against their outstanding invoices. This product upgrades the MarketInvoice offer from its long-standing selective invoice discounting solution.
Dan Walker, Head of London Office, of Varengold Bank AG commented: “We have been looking at the fintech sector for some time. MarketInvoice and its peer-to-peer invoice finance platform presented a fitting opportunity for us. In particular, we were attracted by their products, approach to risk management and ambition for growth.”
Anil Stocker, CEO and co-founder of MarketInvoice said: “Institutions have played a significant role in our growth story and over the past few years. This commitment from Varengold is further proof of our ability to provide finance to high growth businesses across the country, we’re excited by their support of our mission.”
“We look forward to building on this relationship as we scale into larger funding lines through our new confidential invoice discounting solution. I’m sure we’ll see many more examples of this type of collaboration in the coming months.”
MarketInvoice’s main strategic ambition is to broaden its reach to be able to support a wider range of businesses, from start-ups to larger businesses looking to scale up. The company aims to help even more companies get paid faster by financing their invoices, so business owners can save time and focus on running their business.