Atom will provide the funds through Funding Circle’s data and technology platform. It has a long investment relationship with Funding Circle having completed three agreements. In total, Atom has lent around £800m through its system.
The latest partnership is intended to support SMEs through the most recent phase of the government-backed Recovery Loan Scheme (RLS) offered by Funding Circle.
Lisa Jacobs, CEO at Funding Circle, said: “Access to finance remains crucial for small businesses, so we’re delighted to once again be partnering with Atom Bank to help more SMEs get the funding they need to win.
“The Recovery Loan Scheme is an important way for us to be able to say yes to more businesses in line with our medium-term plan, and we’re continuing to extend our track record of delivering robust and attractive loan returns for our investors, in spite of the changing economic environment.”
Dipesh Mehta, co-head of global capital markets at Funding Circle, added: “We’re delighted to strengthen our long-standing relationship with Atom Bank via this new lending partnership. We aim to build strong, long-lasting partnerships with our investors and repeat transactions are a testament to that.
“The partnership will help support more small businesses to access finance, and further demonstrates our track record at delivering robust and attractive investor returns in changing economic conditions.”
‘Supporting as many SMEs as possible’
Chris Storey, chief commercial officer at Atom Bank, said: “This partnership forms a key part of our ongoing commitment to UK business owners. We have an ambition to support as many SMEs as possible as we scale the bank, and continuing to leverage Funding Circle’s market leading tech provides us with a fantastic way to deliver on that ambition.
“We recently announced our first full year of operating profit, followed by a successful capital raise and securitisation, so Atom is in a particularly strong position to help those firms who may be struggling to access finance. We have been supporting businesses through the latest iteration of the Recovery Loan Scheme, so we look forward to now helping even more UK SMEs invest and grow as we move into the new year.”