Nucleus Commercial Finance today announces that it has lent over £750 million to UK businesses, and has closed Q1 with its largest loan to date – a £16m Asset Based Lending (ABL) facility to a haulage firm. This was structured from a £14.5m invoice discounting facility and a £1.5m Property Finance loan. An additional 60 loans were originated across other loan types in March, with £3.5m paid out in this month alone across Cash Flow Finance, Property Finance and Business Cash Advance solutions.
This major win follows on from Nucleus’ decision to extend its ABL facilities up to £50m to service larger clients and cements Nucleus’ role in funding businesses in the mid-market. Other significant solutions within this include an £8m Invoice Finance facility for Midlands manufacturer, Expert Tooling & Automation Ltd. In another record loan size – Nucleus funded a chemical distribution and manufacturing group with an £11m invoice finance facility within the first three weeks of this year.
Nucleus’ bespoke approach to finance, structuring each loan around the individual’s business requirements, has allowed it to increase its average deal size by 50% across its product lines over the last year. The number of Cash Flow Finance and Property Finance loans have increased by over 900% and 200% respectively, in this time period. The launch of a new secured lending product this month, Start-up Finance offers a much needed solution for businesses just starting out. This new loan type allows start-up businesses to borrow £25k to £20m, interest only, over a period of five years, allowing them to invest any capital they do have into getting their business off the ground.
The introduction of Business Cash Advance towards the end of 2017 has also allowed Nucleus to offer fast, flexible and simple solutions for smaller business owners who are looking for a cash flow boost to manage seasonal peaks and troughs, or realise growth and expansion plans.
Chirag Shah, CEO at Nucleus Commercial Finance comments: “Today’s businesses come in all shapes and sizes and the one-size-fits-all mentality, particularly in relation to finance, is outdated. We pride ourselves on finding fast, bespoke and transparent finance solutions. It is greatly rewarding to support the wide range of growing businesses that represent the backbone of the UK economy. We’re seeing enormous growth potential for the alternative lending sector and are confident that we can continue the current pace of growth over the next five years, by developing our products and adding to our expert team to facilitate this.”