Atom financial institution has agreed to lend an extra £150m via Funding Circle to UK small companies.
That is the third partnership between the challenger financial institution and the choice lender, bringing Atom financial institution’s whole lending with Funding Circle to £800m.
The funds will likely be lent via the most recent iteration of the government-backed restoration mortgage scheme (RLS) supplied by Funding Circle.
Learn extra: Who’s providing the RLS?
“Entry to finance stays essential for small companies, so we’re delighted to as soon as once more be partnering with Atom financial institution to assist extra SMEs get the funding they should win,” mentioned Lisa Jacobs (pictured), chief government at Funding Circle.
“The RLS is a vital manner for us to have the ability to say sure to extra companies in step with our medium-term plan, and we’re persevering with to increase our observe document of delivering sturdy and enticing mortgage returns for our traders, despite the altering financial surroundings.”
The announcement follows Atom financial institution’s £100m fairness increase at the beginning of this month from long-term shareholders, to speed up its lending.
“This partnership types a key a part of our ongoing dedication to UK enterprise homeowners. We have now an ambition to help as many SMEs as doable as we scale the financial institution, and persevering with to leverage Funding Circle’s market main tech supplies us with a implausible solution to ship on that ambition,” mentioned Chris Storey, chief industrial officer at Atom financial institution.
Learn extra: Funding Circle requests private ensures on RLS loans
“We just lately introduced our first full yr of working revenue, adopted by a profitable capital increase and securitisation, so Atom is in a very sturdy place to assist these companies who could also be struggling to entry finance. We have now been supporting companies via the most recent iteration of the RLS, so we sit up for now serving to much more UK SMEs make investments and develop as we transfer into the brand new yr.”
Atom financial institution is amongst a variety of traders which have used Funding Circle’s platform together with banks, asset administration firms, insurance coverage firms, government-backed entities, and funds.