Funding Circle Holdings plc (LSE: FCH), a platform specializing in finance for small and medium-sized enterprises (SMEs) in the UK, has achieved a notable benchmark in its capital markets activities. On 18 June 2026, the company announced the successful closure of SBOLT 2026-1, marking its tenth public securitization involving loans originated through its platform.
This latest transaction involves loans held by Waterfall Asset Management (WAM) and represents a full decade of activity in public markets for Funding Circle.
The development solidifies the firm’s status as the top issuer of public SME asset-backed securities (ABS) across the UK and Europe over that timeframe, highlighting the growing sophistication and scale of its dedicated SME ABS initiative.
Managed for the benefit of investors on its platform, Funding Circle has cultivated a trusted securitization framework.
This program has helped establish SME lending as a recognized investment category, while facilitating access to substantial, long-term funding sources for British small businesses.
By channeling capital efficiently, it bolsters company expansion and broader economic contributions.
Collectively, the ten SBOLT deals have generated approximately £2.5 billion in securitized issuance since the program began in 2016.
These efforts have directly enabled financing for more than 33,000 UK SMEs, demonstrating tangible impact on the small business sector.
Market reception for SBOLT 2026-1 proved strong, reflecting Funding Circle’s established history of providing reliable, enduring returns alongside its steady issuance cadence.
The deal also features a pioneering element: the British Business Bank’s inaugural involvement in one of Funding Circle’s public securitizations.
This collaboration expands institutional engagement and advances the evolution of the UK’s SME ABS market.
The platform’s technology and processes allow institutional capital providers to allocate resources effectively across a wide array of UK SMEs. This setup delivers essential funding to businesses while generating competitive, risk-adjusted yields for investors.
Dipesh Mehta, Chief Capital Officer at Funding Circle, said:
“Reaching ten SBOLT transactions underscores a decade of enabling institutional partners to channel capital toward UK SMEs. The program’s achievements speak to the strength of our platform and the advancing maturity of the SME ABS sector.”
Mehta added that the British Business Bank’s participation highlights its commitment to small enterprises.
Working alongside both new and established investors, the transaction broadens access to SME finance, directs resources into the real economy, and aids employment growth.
Strong demand and favorable pricing—particularly amid current market conditions—affirm investor trust in Funding Circle’s technological capabilities and credit evaluation systems.
Reinald de Monchy, Chief Banking Officer at the British Business Bank, said:
“This tenth securitization represents a key step in Funding Circle’s ongoing contributions to the UK small business finance landscape. We are pleased to partner with them on such a transaction for the first time.”
De Monchy noted the Bank’s focus on fostering a varied and robust lending environment for smaller firms, including through securitization support. Such deals enhance funding diversity, enabling businesses to invest, scale, and strengthen local economies.
James Cuby, Head of Europe at Waterfall Asset Management, said:
“Since 2018, we have collaborated with Funding Circle to assist thousands of small businesses. This securitization extends that support while meeting our investment objectives and opening the asset class to more participants. Their SBOLT program stands out as a model for forward-flow arrangements and platform collaborations.”
This latest update not only acknowledges Funding Circle’s track record but also reinforces the growing institutional appetite for high-quality SME debt in public markets. As the UK economy continues to rely on small businesses, initiatives like SBOLT play a vital role in sustaining growth and innovation.