A Midlands commercial finance brokerage Embark Finance, has given start-up businesses access to funding, despite traditional bank funding remaining scarce for fledgling SMEs.
Embark, based in Lutterworth, has secured in the region of £7.5 million for a clutch of entrepreneurial businesses, which had been turned down by their banks when looking to grow.
A textiles business needed the finance to assist with day-to-day working capital funding. This involved securing a £150,000 funding facility. Embark swiftly found a lender willing to support the business proposal, with the deal completed within a week.
Despite a projected turnover of £1million, a start-up logistics business had been turned down for traditional funding. Embark secured the £200,000 the business needed to maintain expansion and operations.
“These are just two of the latest invoice factoring alternative funding transactions completed for start-ups in the last few months,” commented Embark Directors Richard Keenan and Mike Bailey.
“Traditional bank funding continues to be scarce for UK SMEs, particularly fledgling, start-up enterprises. By raising working capital by leveraging clients’ assets, we can provide alternative finance within the invoice finance, factoring, asset and trade finance arenas.
“Intellectual Property-based pension-led business funding and strategies are another realistic, but little-known, source of alternative finance for businesses.”
So far this year, Embark has financed a number of invoice finance deals totalling in excess of £7.5 million.