New SME lender launched to plug funding gap in the UK
New specialist lender for UK small and medium-sized businesses has been set up, focusing on providing fast funding.
Rapital will offer a direct route for clients with challenging credit situations, it said in a statement, such as poor credit, existing loans, county court judgements and defaults. Loans will range between £5,000 and £250,000.
The firm will aim to make decisions in three hours to provide funding as quickly as possible.
Rapital highlighted the increasing need for funding by SMEs in the UK, as well as the challenges faced in obtaining the necessary financing.
The firm cited statistics from the National Association of Commercial Finance Brokers, which found that 32 per cent of new clients successfully funded by its members in 2023 had previously been denied funding elsewhere, up 3 per cent from 2022.
Read more: Most SMEs feel unable to access bank loans as conditions decline
The statement didn’t provide details on who set up Rapital, but according to Companies House alternative lender Capify has significant control with more than 75 per cent of shares.
Serial entrepreneur David Goldin, who founded Capify, was listed as a director of Rapital until 29 May.
Rapital was contacted for comment.
Read more: Capify secures £100m credit facility from Pollen Street
Read more: Funding Circle: 77pc of SMEs expect to need additional funding
