Alternative SME credit specialist Caple and accountants Dains have announced a partnership to help Midlands-based SMEs access unsecured funding for growth.
SMEs typically have difficulties raising money if they don’t have assets to put up as security to banks. That can mean they instead have to make personal guarantees or dilute their ownership by issuing equity.
Now, through this new partnership, Caple and Midlands-based Dains will help SMEs across the region access long-term unsecured debt finance of between £500,000 and £5 million.
Caple is the first in the UK to provide access to unsecured lending based on the future cash flows of the SME. The business requires no collateral or personal guarantees as security. Loans originated through Caple also complement existing bank lending.
Roy Farmer, Head of Corporate Finance and partner at Dains Accountants, said:
“Caple has delivered the most significant change in the UK SME funding market in the last 18 months. Caple’s offering is unique, and the unsecured loans it offers access to can make the difference between SMEs being able to access funds and implement their growth plans and not.”
Caple originates loans through a partner network of accountancy and business advisory firms such as Dains.
The way it works is that Dains assesses the eligibility of its clients for funding, supported by Caple’s proprietary technology platform. It then prepares the business plans and financial forecasts, within the platform, that make the case for funding.