Login
ISCOVER
An SME lender has announced that it has provided over $300 million in funding to small business borrowers.
The Invoice Market (tim.), which launched in 2014, has announced that it has provided $310 million in loans to Australian SMEs, made up of 18,000 invoices.
To continue reading the rest of this article, please log in.
Looking for more benefits? Become a Premium Member.
Create free account to get unlimited news articles and more!
Looking for more benefits? Become a Premium Member.
“SMEs are looking for quicker and fairer funding options and deserting Australian banks for online lending firms,” managing director and CEO of tim. Angus Sedgwick said.
“Cash flow financing can provide a fairer and more flexible funding option for Australian businesses who are seeking alternative, and trusted, growth partners who will tailor an approach to suit their needs.
“Our purpose is to support the future of Australian businesses by providing the best and the simplest solution that helps our clients achieve proper business growth.”
Mr Sedgwick claimed that the lender’s technology-based platform would enhance borrower access to small business finance.
“The biggest killer for small business is cash flow problems,” the CEO added.
“Businesses want access to funds quickly. They know the world of capital is now being disconnected from banks and they have more options to consider.
“We use technology to help our clients meet their business objectives, and without this technology, they can wait weeks for funding.
“We get the funds they need access to quickly and flexibly — all this without the need to provide any personal or business property as collateral.”
The news comes following the launch of a government inquiry into improving access to capital for SMEs.
The inquiry, called Affordable Capital for SME Growth, will evaluate models that international governments have utilised to bridge the SME funding gap and understand whether they can be replicated in Australia.
Speaking with The Adviser, Australian Small Business and Family Enterprise Ombudsman Kate Carnell clarified that she is not suggesting that governments get back into banking, but instead better understand how the government can reduce the perceived risks of lending to SMEs.
Other steps that have been taken to improve SME lending included changes to wording in loan contracts and the roll-out of a cash flow coaching initiative for small businesses.
