Corporate finance advisors Regent Assay and alternative SME credit specialist Caple have announced a partnership to help SMEs access unsecured lending to help them grow.
Regent Assay, based in London, Birmingham and the Thames Valley, has appointed John Walsham to head up its new unsecured lending team within the group.
John will lead the partnership with Caple. He will help Regent Assay’s SME clients access the unsecured finance they need to grow, complete management buy outs or fund acquisitions.
SMEs often struggle to raise money without putting assets up as security. That can mean they have to make personal guarantees or dilute their ownership by issuing equity.
The new partnership between Regent Assay and Caple will help SMEs across all sectors access long-term unsecured debt finance of between £500,000 and £5 million.
Caple says it 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 provided through Caple also complement existing bank lending.
Brett Stacey, partner at Regent Assay, said: “Caple is unique in the UK. It offers SMEs access to genuinely unsecured credit, helping business owners implement their growth plans without having to give up equity.
“We are delighted that John Walsham has agreed to join Regent Assay and drive our partnership with Caple and the development of our new unsecured lending team. The new partnership and team enhance our corporate finance and consulting offer for our SME clients across London, Birmingham and the Thames Valley.”
John, who is ACIB qualified, joins from Natwest and has more than 30 years’ experience in commercial banking.
Caple originates loans through a partner network of accountancy and business advisory firms such as Regent Assay.
Regent Assay will assess the eligibility of its clients for funding, supported by Caple’s proprietary technology platform. Regent Assay will prepare the business plans and financial forecasts, within the platform, that make the case for funding.
Dominic Buch, co-founder and managing partner of Caple, said: “Our partnership with Regent Assay and the creation of its new team show the value of our unique offer in the UK. Options for unsecured debt are very limited. While banks can fund an amount that reflects the tangible assets in a business, they can’t help if a business has no further assets.
“By complementing traditional bank lending, Caple supports a blend of funding that delivers stable and long-term financing to support SME growth.”
Proving the appetite among SMEs, Caple has now completed nearly £30m in deals. Caple and Regent Assay have completed one deal together so far – a five-year unsecured loan with market research agency IFF Research.
The loans Caple facilitates are part of BNP Paribas Asset Management’s SME Alternative Financing direct lending platform, which enables SMEs to access funding from institutional investors. BNP Paribas Asset Management aims to provide €1bn per year in funding to SMEs across Europe.