US-based Pipe is expanding into the UK by collaborating with GoCardless. Pipe is a Fintech that makes financial tools accessible to smaller firms, including embedded financing.
GoCardless is a global payments firm with over 100,000 businesses, from start-ups to household names.
Under the partnership, Pipe’s offerings will be accessible via the GoCardless platform, providing capital access for its UK customer base. The partnership has been in the works for some time as Pipe has been running a pilot program with GoCardless. Results from the pilot program are said to have exceeded expectations.
Luke Voiles, CEO of Pipe, describes the move as a significant step forward for his firm.
“By combining Pipe’s customer-friendly solution with GoCardless’s extensive reach in the UK market, we’re revolutionizing how small businesses access capital and providing them with the financial tools they need to thrive in today’s dynamic economy.”
Pipe notes that UK SMEs have diverse financing needs from growing their business to covering cash flow gaps caused by late payments and 1 in 6 are said to be looking for financing.
Pipe aims to simplify access to funding by embedding lending into the applications that SMEs use daily to run their businesses.
Jolawn Victor, Chief Growth Officer, GoCardless, early results have almost hit £7m in capital being advanced to GoCardless customers.
“Customer feedback has been overwhelmingly positive, with the program achieving an impressive 88 Net Promoter Score. The strong conversion rates from the pilot show there is pent-up demand for this type of financing. We look forward to fully launching this embedded product next year, helping customers tap into new opportunities for growth and expansion while continuing to build their trust and loyalty in GoCardless.”
