Manchester-based business lender Praetura Commercial Finance, alongside sister company Zodeq, has secured a significant £200 million asset-based lending securitisation facility from Barclays. This strategic move aims to bolster support for small and medium enterprises (SMEs) across the UK.
The facility from Barclays enhances Praetura’s capacity to meet the increasing demand for alternative lending solutions, with plans to extend support to over 1,000 additional SMEs annually.
Recent research conducted by Praetura indicates that nearly three-fifths (59%) of UK businesses perceive a decrease in access to capital over the past five years, with 43% citing it as a significant challenge. Furthermore, data from the British Business Bank’s Small Business Finance Markets Report reveals that more than a third (36%) of small business loan applications faced rejection in 2022.
This funding milestone also establishes Praetura as the sole specialist finance company in the UK with two separate securitisation facilities, covering both sales finance and asset finance, from major institutional banks. This follows their £160 million asset finance securitisation facility from NatWest.
The announcement coincides with sustained growth for Praetura’s Lending Division, which has tripled its loan book to £400 million over the past three years, supporting 4,500 businesses. To accommodate the rising demand for SME finance, Praetura Lending has expanded its team, now employing over 150 professionals across multiple offices.
Peadar O’Reilly, CEO of Praetura Lending Division, expressed enthusiasm for the partnership with Barclays, emphasising the collaborative effort involved in securing the facility and Praetura’s commitment to breaking down barriers to capital for UK businesses.
Gordon Beck, European Head of Corporate & Sustainable Securitisation at Barclays, echoed this sentiment, highlighting Barclays’ dedication to supporting thriving SMEs in the UK market.
