Commercial News

Barclays to offer MarketInvoice to SME clients after taking minority stake

Rozi Jones -
|
2nd August 2018
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"It’s exciting to be combining the knowledge and footprint of a 325-year old British banking institution with MarketInvoice’s tech-led online finance solutions."

Barclays is partnering with invoice financing platform MarketInvoice by taking a "significant minority stake" in the firm to give its SME clients greater access to finance.

Barclays is the first high street bank to enter into a strategic partnership with MarketInvoice, giving their customer base access to the fintech's proprietary single invoice finance product as well as broader digital invoice finance facilities.

SMEs who sell goods or services to other businesses can upload or sync their invoices to MarketInvoice’s platform and sell them to investors, unlocking fast access to funding.
 
The proposition will be introduced to Barclays’ SME clients over the coming months in areas across the UK, including the East Midlands, West Midlands, Herts and North West London, with a full roll-out set to commence nationwide in 2019.

Barclays also plans to fund invoices via the platform in the future, growing its asset base further. 

Anil Stocker, MarketInvoice CEO, said: “It’s exciting to be combining the knowledge and footprint of a 325-year old British banking institution with MarketInvoice’s tech-led online finance solutions. Bringing this together in a strategic partnership can only mean good news for UK businesses, with the segment we’re targeting responsible for upwards of 60% of UK employment.
 
“Barclays has a long history of innovation being the first bank to introduce the credit card and the ATM. It makes total sense to partner and introduce our online business finance solutions for their large customer base.
 
“It’s easy to forget that the companies you see on the FTSE 100 all started as small businesses with founders following a passion. In focusing on the needs of these entrepreneurs through this collaboration, Barclays and MarketInvoice will truly transform the experience of UK companies in sourcing finance.”
 
Ian Rand, CEO of Barclays Business Bank, said: "Invoice finance is a product that has come of age in the digital era, it’s efficient, effective and controllable for small businesses.
 
“A number of our clients told us that they feel pressured into offering longer payment terms in order to stay competitive. This ties up their cash flow, preventing them from seizing growth opportunities.
 
“Invoice financing gives small businesses the power to obtain funding in a fast and innovative way, and capitalise on those moments. Our corporate bank already offers invoice financing to large businesses, so it’s great news that we’re able to extend the proposition to work for our SME clients as well.”

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