OakNorth, the digital bank for entrepreneurs, by entrepreneurs, has surpassed $1bn of lending in the US since it began lending there in July 2023, marking another major milestone in its US expansion.
With a focus on supporting lower mid-market businesses with revenues between $1m and $100m, OakNorth’s backing continues to “be a catalyst for growth, innovation, and market leadership for its customers, as well as creating a positive multiplier effect in the communities and economies in which it operates.”
After the collapse of several U.S. banks in 2023, OakNorth stepped up to serve the “$4.2 trillion U.S. lower middle market,” with transactions, including:
- A $28m note-on-note facility to Oak Funding, to support the acquisition of a Class A commercial office building in Secaucus, New Jersey;
- A $18.4m note-on-note facility to S3 Capital, to support major new residential scheme in Upper East Side, Manhattan;
- A $25.1m note-on-note facility to Mavik Capital to finance the conversion of vacant hotel in Syracuse, New York into multifamily property
- A loan to Faes & Co, to support the expansion of its US real estate bridging finance business.
OakNorth also continues to see a significant opportunity in “providing leading growth companies with the financial firepower to make their American dream a reality.”
For example, F1 Arcade, the world’s first F1 experiential hospitality brand, with sites in London and Birmingham, “secured OakNorth funding to support its U.S. expansion.”
In addition, firms such as “global full-service digital marketing agency Croud, and world-leading architectural visualisation business, The Boundary, have benefitted from OakNorth funding to support their U.S. growth.”
And, in May 2024, OakNorth provided “capital to Ultimate Performance, the Manchester-based provider of personalised training and nutrition programs, which has since opened two new sites in California, with more in the pipeline.”
This latest milestone follows “on from OakNorth securing authorisation from the Federal Reserve and the New York State Department of Financial Services for a Representative Office in New York in August 2024 and its acquisition of Community Unity Bank in Michigan in March 2025 (pending regulatory approval).”
Ben Barbanel, Head of Debt Finance at OakNorth, said:
”OakNorth has rapidly built a track record in the US, supporting ambitious companies across a range of industries to help them pursue their growth ambitions. Reaching this $1bn milestone less than two years after launch is a huge achievement for our team and a testament to the strength of our offering. We’ve brought a new level of flexibility and insight to the mid-market, enabling businesses to execute on their ambitions with speed and confidence. With demand continuing to grow, we’re incredibly excited about what the rest of 2025 holds.”
Launched in September 2015 and founded by entrepreneurs, OakNorth is a digital bank focused on “serving and empowering the lower middle-market (businesses with $1m-$100m in turnover), that are seeking to scale but are routinely underserved or overlooked by traditional banks.”
To date, it has provided “c.$17bn to these businesses across a range of sectors, achieving performance metrics.”
Its loans have directly contributed to the “creation of 56,000 jobs, and over 34,000 new homes across the UK and the US – the majority of which are affordable and social housing.”
OakNorth is authorized by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and the Prudential Regulation Authority, as well as by the Federal Reserve and the New York State Department of Financial Services (NYDFS) for its Representative Office in New York.
