Bank of America has agreed a new facility with Simply Asset Finance, the specialist business lending provider, which will unlock the potential of £120 million of further funding for businesses across the UK.
The initial facility is for a value of £60m with an accordion to £120m.
This milestone agreement consolidates Bank of America’s position as a leading player in UK asset finance and the move will enable Simply Asset Finance to significantly increase its funding to UK borrowers for hire purchases, finance leases and refinancing.
Bank of America says it identified Simply Asset Finance as a credible and valuable partner due to its highly experienced management team and exceptional growth potential. The facility will enable Simply Asset Finance to increase its lending capabilities to UK businesses by 30% and increase its origination by c.£100m in the first year.
Founded in 2017 by a team of asset finance specialists, Simply Asset Finance delivers a digital path to finance for small and medium sized businesses across the UK – looking beyond the balance sheet to empower its clients to realise their business potential.
The news follows Simply Asset Finance announcing FY2023 profits of £5.5m and revenues in excess of £52m. Since inception, it has helped to finance over 7,400 customers across the UK through more than 15,000 agreements. Its loan origination now sits at £1.3 billion.
The business has a team of 155 experts across the country and in 2023 it further extended its national footprint, opening an additional sales centre in the business district of Liverpool which celebrated £7m in advances in its inaugural year.
“This level of commitment from the Bank of America marks a significant milestone for us at Simply,” said Stefan Wolvaardt, Simply Asset Finance CFO.
“Identifying us as a key growth partner within the Asset Finance market is testament to the strength of our approach to business lending. We’ve created a digital path to finance through our industry-leading technology paired with our team of experts which sets us apart.
“With the potential to grow this facility even further, Simply’s offering will be core to Asset Finance provision across the UK, allowing businesses to realise their potential, grow and thrive.”
Andrei Cotonet, director at Bank of America, said: “We are proud to announce the successful closure of a new lending facility with Simply Asset Finance designed to provide financial resources needed to invest in critical assets and achieve sustainable growth across the UK.
“The development underscores our unwavering commitment to supporting one of the leading UK Asset Finance lenders in its future growth plans.”
