Prospect Business Centres uses P2P to refinance and support aims to grow into a 10-site business over the next two years
ArchOver, the peer-to-peer (P2P) business lending platform, has announced that Prospect Business Centres Ltd, the provider of serviced office accommodation, has selected ArchOver to raise additional working capital and replace its existing credit facilities.
Prospect Business Centres has provided specialist high-quality serviced office accommodation since opening its first centre in Leeds in 1980. The profitable business currently has seven centres in prime business locations, with five in London and two in Leeds. With a focus on quality of service and flexibility, Prospect Business Centres has an average occupancy rate of 87% in London and 82% nationwide. Its clients range from regional-based businesses like Health Management and West Yorks Mediation Services occupying one desk space in Leeds, to multinationals including GE Capital, AXA, NHS, Accenture and Keir Construction filling over 120 desks in the City. The company is now planning to open a further three sites in London over the next 18 months to meet the demand for serviced office space and support future growth.
“Just a few years ago, alternative finance providers weren’t as available in the mainstream. Without the likes of ArchOver, the best options available came with high interest rates and requirements for personal guarantees,” explained Charlie Cudworth, managing director at Prospect Business Centres. “When we started to consider the next stage of financing to help us achieve our projected growth figures, we were introduced to ArchOver by CreditSquare. It was their commitment to working closely with our business to understand our requirements coupled with its ability to package a series of loans together made it an ideal choice.”
Using its Secured & Assigned service, ArchOver has already raised £692,000 and is currently funding an additional £400,000 as part of a series of loans that will allow it to facilitate £3.1 million over the next 6 months. Against future contracted revenues of £12.3 million, the new loans will repay existing borrowing, reduce the cost of funding and give Prospect Business Centres the certainty that it needs to continue expanding and open new sites.
“We aim to help British businesses and have worked hard to raise awareness about alternatives to traditional lending which also maximise returns for investors,” concluded Angus Dent, CEO at ArchOver. “Originally founded in Leeds in 1980, Prospect Business Centres has continued to expand as demand for serviced office space has grown. Prospect Business Centres is an excellent example of how we are supporting the growth of companies that have long been ahead of their time by making access to funding as easy and simple as possible.