Bath-based asset-backed finance provider 1pm has expanded into the small business loans market.
The firm, quoted on the London Stock Exchange’s AIM market, will initially lend between £1,000 and £15,000 which can be repaid over any period from three to 36 months.
It announced completion of its first loan to a Leicester wholesale business last week.
1pm chief executive Maria Hampton said over recent years there had been a very significant increase in demand for its core asset-backed finance business from SMEs finding it difficult to access to all forms of credit through the traditional high street banking sector.
As a result 1pm’s loan book grew by more than 60% between May 2011 and August 31 this year when it stood at £16.2m.
“We are continuing to see high levels of demand for funding from the SME market,” she said.
“It has become very apparent to us that there is also substantial demand amongst SMEs for small business loans, again which are not being satisfied by the banking sector. With our experience of the sector and by utilising our well proven and robust credit control and credit analysis systems, we believe there are huge opportunities for us to grow this business in tandem with our existing successful asset finance lending.
“We are continually seeking new and innovative ways to help fund the SME market and we anticipate a high demand for this new product.”
