Specialist funder Time Finance is to increase lending by its invoice finance business after renewing and increasing its back-to-back funding facility with NatWest by £10m.
The increase to £65m includes £55m fully committed and an additional £10m ‘accordion’ line of credit.
The facility will be used exclusively for lending to UK businesses and provides the group’s Time Invoice Finance (TIF) operation with additional funding to meet continued demand from its growing number of SME clients.
Since the start of AIM-listed independent Time Finance’s four-year strategic plan in June 2021, TIF has achieved consistent growth.
Funds advanced to clients during this period increased by more than 170% to £68m as the business continued to experience robust demand.
Time Finance said the increased NatWest facility, together with extended asset finance facilities arranged with other funding partners earlier this year, meant it was extremely well positioned to continue to fund its future growth plans with total funding facilities available of more than £225m.
Time Finance chief financial officer James Roberts, pictured, said: “I am delighted that the group has further strengthened its long-standing relationship with NatWest, which continues to thrive not just in our invoice finance division but also across the wider group.
“We have substantial funding facilities with ample headroom in place across all of our lending divisions.
“The provision of these larger and more flexible facilities will contribute significantly to our growth strategy and provide additional funding solutions for UK businesses – for whom a flexible and dependable funding partner can make all the difference.”
Time Finance, which provides asset, loan and invoice finance products to more than 11,000 UK businesses, recently announced pre-tax profits up by 46% at £1.9m on a 20% increase in revenue to £9.1 during the three months to 31 August.
The group, previously known as 1pm, has spent three years targeting lending book growth driven by both its invoice finance division and what it called the ‘hard’ subset of its wider asset division under its four-year strategic plan.
