Business finance provider InvoiceFair has announced that it has changed its name to Financefair as it marks €1.5 billion in advances made to Irish and British businesses.
Financefair (formerly InvoiceFair) has made a significant impact on the Irish and UK business funding landscape, having advanced over €1.5 billion to an underserved market of small and midsize SMEs who are scaling but cannot access funding from banks or traditional providers, due to their size or sector.
The company’s new name, Financefair, more accurately reflects their broader range of products which has evolved substantially since its founding in 2015 to address a shrinking funding landscape. In the last 18 months, that shrinkage has accelerated with the withdrawal of banks and alternative platforms from the working capital space.
Financefair’s Co-founder and CEO Helen Cahill, a finalist in the EY Entrepreneur of the Year Awards said, “Getting fast access to working capital is vital for SMEs to stay competitive and is nothing short of imperative for those with ambitious growth plans. The current funding choices in the Irish market are not fit for purpose which is why we are determined to address that gap. We are focused on providing products that are aligned to the growth ambitions of these SMEs which is why we have added products such as Line of Credit and Revenue Based Finance”
Line of Credit is a new pre-approved funding facility that allows companies leverage on their outstanding trade receivables enabling them to draw down funds on demand. This facility is an alternative to business overdrafts and short-term loans, as it gives business owners access to instant working capital. Pre-approved advances to €250,000 with a circa cost of funds from 1% to 1.5% per month.
Financefair also recently launched a Revenue Based Finance product which allows businesses to leverage their regular contracted and/or non-contracted revenue. By aligning funding to its forecasted and predictable revenue, businesses can get access to cashflow which often postpones the need for long term debt or an equity raise to grow their business.
With a strong financial services heritage, a deep understanding of the nuances of risk across sectors, and a view that no two businesses are the same, Peter Brady Co-founder and Chief Revenue Officer explains, “By leveraging the latest in technology, which gives us access to real time data through open banking and accounting software integrations, we can deliver flexible funding at speed and service SMEs that may not tick all the boxes for traditional funders.”
According to Helen Cahill, “In 2015, we saw a gap in the invoice finance space, but since then we have evolved with the market recognising that our business customers want the power to fund their own future, and we will continue to expand our offerings to serve their growth ambitions.”