SME funding provider Accelerated Payments (AP) has announced it has secured a £20m senior debt line from asset manager Channel Capital Advisors to expand AP’s receivables financing capability.
The deal, which more than doubles AP’s invoice financing capability for clients, will help to facilitate the firm’s business growth and expansion into the European market. It will also offer additional funds for its SME client base in Ireland and the UK, as they continue to cope with the business and economic challenges associated with Covid-19.
The current deal managed by Channel Capital will grow to a £40m programme, and will support AP’s business users over the next year. As an FCA authorised and regulated entity, the asset manager will also provide program management and monitoring services.
Hilmar Hauer, Partner and Head of Debt Products at Channel Capital, said: “This is our ninth transaction since the beginning of the pandemic in March where we are bringing competitively priced financing for receivables for a Fintech operating in North America and Europe. It is a testament to the quality of the risk management and capability of Accelerated Payments that we were able to secure these funds for their business.”
Ian Duffy, CEO, Accelerated Payments, said: “Our partnership with Channel allows us to significantly increase our receivables financing programme and provide a more flexible and broader funding base for our SME clients. This recent financing comes at a time when we are expanding rapidly and extending our global reach, while also dealing with the unforeseen challenges caused by Covid-19. This is a mutually beneficial partnership that will enable us to strengthen and grow our position and capabilities.”