Alternative small firms’ lender Fleximize secures £5.5m funding
Fleximize investment boosts lender’s ability to build on £4m lent to small and mid-sized businesses since launching a year ago
Alternative finance company Fleximize has been granted access to more than £5.5m in funds, as it announces it has lent £4m to small and mid-sized businesses since its launch just one year ago.
The company estimates that around 15% of those businesses had previously been rejected by banks.
Research carried out by Fleximize revealed an estimated £1.44bn worth of credit applications for small businesses were rejected between July and September 2014 – around 28% higher than the value of credit rejected in Q2 2014.
The lender has also joined the alternativebusinessfunding.co.uk, which matches businesses with funders that suit their criteria, alongside alternative finance companies Funding Circle, Seedrs and Crowdcube among others.
Max Chmyshuk, founder and managing partner at Fleximize, said: “We are seeing huge demand for our loans, and now that we have secured more funding from investors and joined ABF, we expect to see a massive increase in business.
Adam Tavener, chairman of pensionledfunding.com, part of the alternative funding collaboration, said: “The recent government announcement that banks will be forced to forward on the details of SMEs they reject for funding to alternative lenders will ‘open up the floodgates’ to new forms of lending for businesses. Our research shows that 65% of SMEs support this move.”