MarketInvoice Advances £20 Million Worth of Invoices to Small Businesses Through its Online Platform

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• Publié par: marketinvoice
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• Langue: English

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MarketInvoice Advances £20 Million Worth of

Invoices to Small Businesses Through its

Online Platform

PR Newswire

LONDON, July 3, 2012

LONDON

,

July 3, 2012

/PRNewswire/ --

MarketInvoice, the UK and

Europe's

first and only working online invoice

finance marketplace, announced that this month it has processed over £20

million of blue-chip invoices auctioned by small businesses since it started

trading in

February 2011

.

"Over the last few months we have seen a rapid growth in the number of small

businesses opting to use alternative financing solutions to help fund their

enterprises," says Anil Stocker, co-founder and director of MarketInvoice. "We

have over 100 businesses signed up to our platform and this latest milestone

not only highlights SMEs' increasing need for alternative means of support to

help their businesses grow, but it is also encouraging to see the faith and

positive feedback that our clients have shown in our online marketplace."

MarketInvoice's clients range from UK limited companies turning over on

average between £250,000 and £50 million. Members wanting to turn invoices

into working capital cover a range of diverse industries from construction and

engineering, imports and exports, to recruitment and consultancy. They all

recognise the advantages of keeping control of their cash flow particularly

when debtors are extending payment terms in this troubling economic climate.

"I wanted funds without all the guarantors needed when applying for a bank

loan," said Jessica Witenberg, founder of handbag & accessory making business

Jessnic & Co. "And I certainly didn't want a loan hanging over my head during

tough economic times." A fervent user of MarketInvoice, Witenberg says the

flexibility offered by the invoice factoring marketplace is exactly what small

business owner's want in the current economic climate, "with banks there are

hidden fees and additional costs that pop up out of nowhere."

"The current economic climate means it is very difficult for SMEs to access

bank finance," says Stocker. Initiatives introduced by the Government to help

facilitate bank lending to businesses including Project Merlin, National Loan

Guarantee Scheme and the Enterprise Finance Guarantee have been slightly

underwhelming in impact. The brand new funding for lending plan set out by

the Treasury and financed by the Bank of

England

, is a step in the right

direction, however the private sector is where the most change can happen.

"The Government must now champion credible alternatives such as ours in

order to facilitate access to capital for UK SMEs. A UK economic recovery

depends on these companies having the confidence and capital to create new

jobs and stimulate growth," expounds Stocker.

The largest source of working capital for UK SMEs is often tied up in outstanding

invoices with payment terms from blue-chip debtors extending between 30 and

120 days. MarketInvoice is an innovative provider of short-term invoice

discounting for small and medium companies. It provides a cloud-based online

marketplace where companies can selectively sell their invoices issued to large

debtors to receive cash upfront. Global institutional investors compete among

themselves in real time to bid on these invoices and advance cash, enabling

companies to grow and cover costs. The MarketInvoice product brings together

an international network of investors with high growth small and medium sized

enterprises in search of working capital and an alternative funding option.