Novuna Business Cash Flow has launched an asset-based lending proposition offering facilities of between £2m and £25m as it expands its corporate funding capabilities.
The new facility enables businesses to raise finance against receivables, inventory, plant and machinery and commercial property within a single funding structure.
All facilities will include invoice finance, with the additional asset classes allowing Novuna to provide greater funding headroom than through receivables finance alone.
The lender says the proposition is aimed at mid-sized and larger UK businesses requiring funding for acquisitions, investment, restructuring and growth.
ASSETS BROUGHT INTO SINGLE FACILITY
Rather than using separate funding arrangements across individual asset classes, Novuna will bring them together under one overall facility limit, lending rate and monthly fee.
The launch forms part of a wider strategy to move beyond traditional invoice finance and develop a broader working capital and cash flow finance business.
Dan Lambourne (main picture, right), head of relationship management and corporate at Novuna Business Cash Flow, says: “We’re seeing more businesses whose funding requirements can no longer be met by looking at receivables in isolation. They may have considerable value tied up across stock, machinery, property and invoices and want a funding structure that reflects the strength of the whole business.
“Our new ABL proposition gives us the ability to bring those assets together into one facility and provide substantially more funding headroom as businesses grow, invest or pursue acquisitions.”
STURGEON JOINS CORPORATE TEAM
Novuna has also appointed Neil Sturgeon (main picture, left) as corporate business development manager to support the launch.
Sturgeon brings more than 40 years’ experience across asset-based lending, receivables finance and working capital, including senior business development and origination positions with two major banks.
He will work alongside Lambourne to develop Novuna’s presence in the corporate funding market and relationships with corporate finance advisers, debt advisers and professional introducers.
Sturgeon says: “There is a real opportunity to build a strong ABL proposition at Novuna. The business already has a market-leading invoice finance platform, significant funding capability and a clear ambition to do more in the corporate market.
“For advisers and their clients, the important thing is having a lender that can understand the whole funding requirement rather than trying to make a business fit a particular product. That is exactly where ABL can add value, particularly for businesses going through periods of growth, acquisition or change.
“I’m looking forward to working with advisers across the UK and establishing Novuna as an increasingly important player in the ABL market.”
