UK Fintech Previse has been approved for accreditation by the British Business Bank under the CBILS scheme, according to a note from the company. An invoice financing platform, Previse recently secured $11 million in funding through an investment round led by Mastercard and Reefknot Investments. The Coronavirus Business Interruption Loan Scheme (CBILS) is one of several government programs designed to aid COVID-19 impacted firms.
Precise stated that it will use CBILS backed loans and its artificial intelligence (AI) technology to support UK SMEs with instant access to the money they’re owed by corporate customers in a unique marriage of Fintech and government support. Under CBILS, SME borrowers may receive up to £5 million. It was recently reported that CBILS lenders have approved finance to 50,482 SMEs with a total value of approved loans of £10.53 billion.
Previse’s “InstantFlow Cash Account” will provide SME suppliers with instant access to cash based on the flow of invoices, POs, and payments.
Paul Christensen, CEO of Previse, commented on the approval:
“The economic disruption from coronavirus has created a perfect storm of misery which risks pushing many SMEs over the edge into bankruptcy. Our top priority has been to develop a practical solution for small British businesses which will provide the immediate support they need, without building up unsustainable debts for the future.”
Federation of Small Businesses (FSB) Policy and Advocacy Chairman Martin McTague added that the current climate has exacerbated the late payment challenge faced by small businesses on a daily basis.
“Many are fearing for their futures simply because their clients refuse to pay on time. That’s why it’s so vital that we have a broad range of providers accredited to the business interruption loan scheme. Over the long-term, we need to see big corporations working collaboratively with finance platforms and small businesses to bring our endemic poor payment culture to a conclusive end.”