MarketFinance is riding the wave of integrated lending to increase revenue and profitability
By Joy Dumasia
MarketFinance, the leading FinTech payments and credit provider, reported a 133% increase in revenue, driving the company to profitability in 2021 as it invests more in its integrated financial products and its digital lending APIs.
MarketFinance’s growth is driven by an increase in demand for working capital during the pandemic from SME borrowers, facilitated by FinTech’s successful rollout of government-backed Coronavirus Business Interruption Loan Scheme (CBILS) loans and its accreditation as a Delivery Partner of the Recovery Loan Scheme (RLS). The two programs have enabled the company to manage over £2.1 billion worth of digital applications with the fastest decision speed on the market today, with 100% of applicants responded within 24 hours. This growth was achieved in tandem with the company’s moves to double down on existing strategic partnerships with Barclays Bank UK Plc and international cash management experts Ebury. MarketFinance is also launching new strategic partnerships with Azets, the region’s largest accounting and consulting firm for Top 10 SMEs, and FTSE 250 business merchants across various industries.
FinTech has seen the number of monthly loan applications increase almost tenfold since the pandemic and has provided companies with the fastest “response time” in the market via their digital application process. The £20-30m volume of monthly claims submitted in 2019 jumped to an average of £300m per month through 2021, reaching £725m in one month at its peak. Last year, MarketFinance advanced more than half a billion pounds on its product offering which covers invoice finance, business and flexible loans, and approved credit limits worth £286 million.
MarketFinance has been providing frictionless financing to B2B companies in partnership with blue chips, start-ups and government agencies for over a decade. The company has benefited greatly from its strong track record of successfully integrating lending services on a cross-industry basis, where MarketFinance’s lending product is integrated with Barclays Online Banking, enabling hundreds of millions of pounds of funds to be lent to businesses. through the partnership since 2018.
MarketFinance is building on this growth by expanding its lending APIs and investing more in integrated finance models through integrations with software platforms, accounting platforms, digital banks and B2B marketplaces as it targets the unicorn status. In Q2 2022, MarketFinance will launch its latest digital payment and credit offering for corporate and B2B markets as the next step in its integrated finance strategy.
Anil Stocker, CEO of MarketFinance, said: “In a market where profits often come after growth, we are extremely proud to say that we have reached this important milestone of profitability. Our experience as a B2B credit provider over the past decade, along with our focus on refining our lending APIs and working to launch more payment and credit options for B2B markets, puts us in good position to build a much bigger business. We are still very early in our long-term journey. MarketFinance is focused on leading the B2B integrated finance market and transforming it the same way Klarna transformed consumer payments and credit. We will achieve our ambitious goal through the continuous development of pioneering new products, hiring great people for our mission and maintaining partnerships, such as the one we have with Barclays, to serve as many businesses with funding as possible. .
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