4Syte Agrees up to £100m Funding Facility from NatWest, Supported by the British Business Bank

The British Business Bank has agreed an ENABLE Guarantee with finance provider 4Syte, supporting a facility of up to £100m. The transaction will unlock additional capacity, increasing 4Syte’s invoice finance and asset-based lending to smaller UK businesses. 

The British Business Bank is guaranteeing a portion of the funding, which is provided by NatWest Bank, and will help to support a doubling of the existing funding facility.

The British Business Bank’s ENABLE Guarantees programme is designed to encourage banks and other lenders to increase their lending to smaller businesses, by reducing the amount of capital or junior funding required for such lending. Under an ENABLE Guarantee, the UK Government takes on a portion of the risk in a transaction supporting debt finance to smaller businesses, in return for a fee. 

4Syte offers a range of services to smaller businesses, which address how best to solve their cashflow needs or longer-term structural funding – whether it be working capital, cashflow, business expansion or debt consolidation. 

Michael Strevens, Managing Director, Structured Financial Institution Solutions, British Business Bank said: “Invoice finance and asset-based lending are important finance types for smaller UK businesses, providing them with a flexible and affordable way to finance their operations. One of the British Business Bank’s key aims is to increase the choice of funding options for those businesses, and this transaction does exactly that.

“Working with a new delivery partner in 4Syte and alongside an established funder like NatWest, demonstrates our commitment to increasing the diversity of providers in the wider lender market, supporting them at whatever stage of their journey they are on.” 

Nick Sellars, Group Managing Director of 4Syte said: “This facility demonstrates the commitment of the British Business Bank, NatWest and 4Syte to the SME sector and its vital role in driving growth across the UK. We are delighted to have the opportunity to work alongside such esteemed institutions, and we look forward to continuing our service-lead offering to support and inspire UK businesses.” 

Martin Noakes, Head of UK Structured Finance, L&SE & Head of Corporate ABL, NatWest said: “We are delighted to continue supporting 4Syte’s growth aspirations through the extended provision of our back to back ABL facility, and with the support of The British Business Bank and the ENABLE Guarantees programme, we are excited to help unlock an important new source of liquidity for UK SMEs.”