Praetura secures second securitisation to boost SME lending

Praetura Commercial Finance – together with sister company Zodeq – has secured a £200m asset-based lending securitisation facility provided by Barclays to boost support for SMEs across the UK.

Praetura says the Barclays facility will enhance its ability to meet rising demand for alternative lending, with the business expecting to support over 1,000 additional SMEs each year.

Praetura now has two separate securitisation facilities in place for both sales finance and asset finance from two institutional banks, following its asset finance securitisation facility of £160m from NatWest.

This comes as research from Praetura finds almost three fifths (59%) of UK businesses say access to capital has decreased in the last five years, and that 43% report that it is one of the biggest challenges they face.

In addition, figures from the British Business Bank’s Small Business Finance Markets Report found over a third (36%) of small business loan applications were unsuccessful in 2022.

Peadar O’Reilly, CEO at Praetura Lending, said: “The Praetura team is delighted to partner with Barclays on this new facility and help more SMEs get the funding they need to succeed. By working with forward thinking institutions, such as Barclays, we are able bring down the barriers to capital for thousands of UK businesses."

Gordon Beck, European head of corporate and sustainable securitisation at Barclays, said: “We are pleased to support Praetura with this sales finance securitisation facility which emphasises Barclays commitment to supporting thriving SME businesses in our UK home market.”