Ultimate Finance is to withdraw from the unsecured loan market to concentrate on further investment in asset-based solutions.
The decision brings full focus on growing its the lender’s invoice finance, asset Finance and bridging products, and aligning its depth of offering into bespoke structured solutions suitable for individual client needs.
Unsecured loans will no longer be provided on a standalone basis, although clients will continue to have access to cashflow loans alongside Ultimate Finance’s secured products. Ultimate Finance will continue to support existing unsecured loan clients until the end of their facility.
Josh Levy, chief executive officer of Ultimate Finance, said: “We are committed to ensuring that our structure and strategy allows us to be responsive to market conditions and positioned to capitalise on our growth potential.
“By no longer offering standalone unsecured loans and solely focusing on asset-based lending, we are prioritising our core strengths and ensuring that our market proposition is clear and concentrated on our specialist areas of secured lending. We are committed to continuing to provide our clients, including those with existing unsecured loans, with high levels of service enabled by technology.
“The strength of our people and our focus on serving the funding needs of our clients in a personal and flexible manner. Now evolution is needed to reach our long-term aspirations and to capitalise on the huge opportunity in front of us.”
Ultimate Finance is backed by Tavistock Group, an international private investment organisation.
Ultimate Finance said it has recorded its strongest ever six-month period of lending, having provided £750m to SMEs in the first half of 2019.
The figures show a 21% increase in funding for H1 2019 compared to the same period last year, while the company has reported growth of over 200% since it was acquired by Tavistock Group in July 2015.
Ultimate Finance’s asset finance loan book reached more than £50m for the first time, with £20m of that being new business secured in H1.