Growth Capital Ventures (GCV) has teamed up with B-North, a start-up which aims to transform the way SME lending is delivered.
B-North aims to disrupt the SME lending market by delivering funding to highly profitable and scalable SMEs in a fast and efficient way.
In June 2018, Growth Capital Ventures began working with B-North to raise seed capital of circa £4.5 million.
The initial round of funding enabled B-North to assemble a highly-experienced and ambitious management team, progress with their banking license application, and further develop their FinTech enabled lending platform.
Business Banking has changed significantly over the past few years, with businesses requiring financing options in days rather than months. For customers wanting to borrow between £500k and £5 million, the experience for many can be a frustrating and a time-consuming process that ultimately stifles business growth.
As of July 2018, the SME lending market was reportedly worth over £154 billion yet this figure includes £48 billion of unmet demand as estimated by the British Business Bank.
GCV has worked with B-North to raise growth capital and enable the team to appoint internationally renowned partners – including tech banking specialists Mambu, nCino and ClearBank – to develop a business banking solution capable of processing loans at speed.
Following on from the seed round, GCV has continued to support B-North in raising further funds through a second round of investment in December 2019, resulting in a further £2.8 million of investment.
The latest round of investment places B-North in a position to further strengthen the existing management team and continue building the infrastructure ready for launching the bank later in the year.