Corporate Solutions: MarketInvoice puts the M in SME
Over the past two years, MarketInvoice has seen an increasing demand for funding from much larger businesses, in other words, the “Ms” in “SME”. We came to realise that these thriving businesses – the ones achieving their wildest growth ambitions – struggle to access funding from traditional sources.
That’s why we’ve further developed the support we’re already giving these businesses with purpose-built Corporate Solutions.
Caught in a no man’s land between traditional business lending and corporate banking, some 28,000 high-growth SMEs are dramatically underserved at both ends of the funding spectrum. They’ve grown up and off the books of lenders who cater to small businesses because their financial needs have become too complex. On the other hand, they’re largely ignored by corporate banks, considered as yet too small to be on their radar.
This means that there are currently thousands of businesses in the UK whose passion, growth potential and contribution to the economy are being stifled. Businesses who’ve turned a spark of inspiration into serious success but who are forced to slow down because of barriers to finance.
For us, Corporate Solutions is about untying the hands of these businesses. Giving them greater access to large-scale credit facilities, reflective of how far they’ve come and how much further they can go.
Our Corporate Solutions are designed to support bigger SMEs with turnovers ranging from £5m to £50m. As they scale, seizing new opportunities and developing innovative products or services, they’ll be able to fuel that growth with funding facilities up to £5m. We’re also able to provide greater flexibility in how these businesses choose to fund their ambitions through unsecured loans up to £500k.
As MarketInvoice has grown, many of the businesses we work with have grown alongside us. Our Corporate Solutions enable us to continue supporting these customers more comprehensively as they take the next big leap in their journey.
Take Infinity Energy Organisation for example, a business we’ve been working with since early last year. Infinity Energy is helping thousands of UK households become more energy efficient through their network of accredited and experienced installers. They use invoice finance to bridge the gap between paying supply chain and waiting 45-60 days to be paid by their clients.
When we first met Managing Director Marvin Patel in 2018, the company’s revenue was just over £11m. This year, Infinity Energy is on track to almost double that number to £20m.
“We chose MarketInvoice as a finance partner to tackle long payment terms,” says Marvin. “We wouldn’t be where we are today without them. Now that we’re taking on bigger projects with more complex contracts, we needed a larger finance facility. It’s great that we can continue our relationship.”
Just over a year ago, we started working with Kelly Contractors, a family-owned business that specialises in repurposing commercial buildings. When we met the company’s owner, Hugh Kelly, they’d almost tripled their turnover to more than £6m within a couple of years.
Kelly Contractors already had a funding facility from their bank but their facility simply wasn’t scaling fast enough to keep up with such rapid growth. Sourcing finance from other traditional sources was also very challenging due to the nuances of the construction industry.
Through MarketInvoice, Kelly Contractors were able to secure a facility that was 5 times larger, accessing funds quickly to support their current build contracts. Today, the company is on track to finish the year with a turnover in excess of £20m.
“Having a facility from MarketInvoice has allowed us to triple our turnover in a short space of time,” says Hugh. “That would have been impossible with a high street lender. With cash flow taken of, we can plan and invest in the future growth of our company with certainty.”
We’ve created a dedicated Corporate Solutions team, headed up by Craig Flyger who’s been working exclusively with MarketInvoice’s high-growth customers since 2016. Craig stresses that he and his team are not here to set out rigid terms for these businesses to fit into. Instead, they’re taking a highly personalised approach in which the specific needs of each business are understood in great detail so that tailor-made facilities can be structured to meet them.
Through Corporate Solutions, businesses have access to all the benefits of our proprietary selective invoice discounting solution, contract finance and flexible business loans – on a much larger scale. With no obligation to sign a fixed-term contract for invoice finance, they can pick and choose which invoices to finance up to a face value of £1m. Business loans provide an instant cash injection and can be repaid over 1 to 3 years.
MarketInvoice’s smart technology and robust risk model allow for fast decisions and hassle-free setup, with a speed of funding not currently available to these businesses through traditional sources. Ongoing account management is simplified through our user-friendly online platform and with a dedicated relationship manager on hand to help at every stage.
“It’s really exciting for us to be able to help businesses take the next step in their journey,” says Craig. “Having gone through our own journey of growing Marketinvoice, we understand the struggles business owners face when it comes to getting the right funding.
We’re delighted to be able to serve larger businesses with their finance needs. They’re forging new ground by transforming their industries, growing internationally and driving UK GDP. We want to power and propel their growth.”
Find out more about MarketInvoice’s Corporate Solutions here.