BBB AGREES FACILITY WITH 1PM TO PROVIDE £35M OF ADDITIONAL FUNDING TO SMALLER UK BUSINESSES
March 27th, 2018.


1pm plc, the AIM listed independent specialist provider of finance facilities to the SME sector, has announced the agreement of a new asset finance facility with the British Business Bank that will provide £35m of additional funding to smaller businesses.


The facility, made under the British Business Bank’s ENABLE programme, will enable 1pm plc to significantly expand its asset finance lending to businesses across the UK smaller business sector, primarily for those seeking “hard asset” finance (equipment with robust residual values after a period of use) through 1pm Group’s subsidiary Bradgate Business Finance Ltd.

Bernie Skivington, Director, Guarantee & Wholesale Solutions at the British Business Bank, said: “The British Business Bank works to increase the flow of finance to the UK’s smaller businesses. Our ENABLE Funding programme is an important part of our support to asset finance providers like 1pm plc as they scale up their lending to smaller businesses, helping those businesses invest in the equipment they need to grow and succeed.”

As part of British Business Bank’s key objective to diversify finance markets for smaller UK businesses, the ENABLE Funding programme helps smaller providers of business finance to do more to support smaller UK businesses.

These providers often lack the scale required to access capital markets – a key source of funding for lending institutions – in a cost-efficient manner. ENABLE Funding warehouses newly-originated finance receivables from a number of smaller business finance providers, bringing them together into a new structure. Once the structure has sufficient scale, it will refinance a portion of its funding on the capital markets. This means the British Business Bank can help small finance providers to tap institutional investors’ funds.

The British Business Bank is currently supporting over 65,000 businesses, working through over 100 finance partners. Its programmes support over £4bn of finance to UK smaller businesses and participate in a further £6.6bn of finance to UK small mid-cap businesses.

As well as increasing both supply and diversity of finance for UK smaller businesses through its programmes, the Bank works to raise awareness of the finance options, including asset finance, available to smaller businesses. It has published the Business Finance Guide (in partnership with the ICAEW, and a further 21 business and finance organisations). This guide impartially sets out the range finance options available to businesses – from start-ups to SMEs and growing mid-sized companies. Take the interactive journey at www.thebusinessfinanceguide.co.uk/bbb

https://british-business-bank.co.uk