Invoice trading platform MarketInvoice has joined the Royal Bank of Scotland/NatWest Capital Connections panel, joining a group of alternative finance providers that also includes Peer to Peer Lender, Funding Circle and Assetz Capital.
The Capital Connections Panel was set up by the High Street banking group to help businesses that were unable to attract traditional bank finance to find alternative sources of funding. Businesses may be referred to finance providers on the panel by their RBS/NatWest relationship managers or contact the providers directly. There are currently nine alternative finance platforms on the panel and according to RBS/NatWest they have been chosen to provide a broad range of options for SMEs.The service is aimed at business with a turnover of up to £25m.
MarketInvoice is the first invoice finance provider to join the marketplace, a move welcomed by the platform’s founder, Anil Stocker, who stressed the importance of alternative funding sources in the UK’s business support ecosystem.
“Companies across the UK are choosing to diversify funding sources with more than £4bn advanced through alternative finance firms. Furthermore, the invoice finance and asset-based lending sector is providing more finance to UK businesses than ever before,” he said.
Speaking for the bank, Alison Rose, CEO of Commercial and Private Banking acknowledged that alternative finance providers may offer the best option for certain businesses, depending on their circumstances. “We understand that traditional funding routes are not always the best option for fast growing start-ups. Through Capital Connections we’re able to signpost a broad choice of funding options through its impressive range of alternative lenders.”
MarketInvoice occupies a very specific niche in Britain’s alternative lending market. Like traditional providers of factoring and invoice discounting services, the company enables businesses to manage cashflow by borrowing against their debtor book. However, using the online platform, businesses can pitch to investors for the best deal on interest rates.