Peer-to-peer lender MarketInvoice has signed an agreement with Banco BNI Europa (BNI) for BNI to provide £45m annually on the marketplace.
BNI trialled an investment last year (£28.3m) and has now signalled its full commitment and confidence in the MarketInvoice proposition, said MarketInvoice.
MarketInvoice said sums advanced to UK businesses from institutional investors via its business doubled over the last three years from £96.1m to £176.2m, and that since the Brexit vote, global institutional investor investments in MarketInvoice increased 34% compared to investors in the UK, which it said had remained constant.
MarketInvoice said it had funded over 70,000 invoices worth more than £1.2bn (€1.42bn) to date.
The business attributed some of its growth to the launch of its confidential invoice discounting facility, launched in February 2017, offering businesses a funding line against their outstanding invoices.
Pedro Coelho, executive chairman of Banco BNI Europa said: “In 2015, we put in place a digital strategy to drive our investments through fintech platforms. This news is testament to how well it has worked for us.”
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“We are proactively working with fintech businesses globally that prescribe to our vision of providing low-cost, innovative products with exceptional customer service. MarketInvoice has consistently delivered these values over the years. The MarketInvoice Pro service is now a further means to build on our relationship as it provides a longer-term arrangement.”
“It is inevitable that banks will work more collaboratively with fintech businesses. I am firm believer of this and see much scope in the industry.”
Anil Stocker, chief executive and co-founder of MarketInvoice said: “Institutions have played a significant role in our growth story and over the past two years have consistently funded almost 60% of the working capital provided to UK businesses via MarketInvoice. This new commitment from BNI is further proof of our ability to provide finance to high growth businesses across the country, we’re excited by their support of our mission.”
“Banco BNI Europa has shown foresight in adopting a digital strategy and executing it by working with the European peer-to-peer industry. There are strong synergies between us as a fintech platform and BNI as a digital-only bank. We look forward to building on this relationship as we scale into larger funding lines through our new MI Pro product. I’m sure we’ll see many more examples of this type of collaboration in the coming months.”
MarketInvoice’s main strategic ambition is to broaden its reach to be able to support a wider range of businesses, from start-ups to larger businesses looking to scale up.