BankiFi and Praetura collaborate.

The UK-based fintech startup BankiFi has declared its collaboration with Praetura to maximise lending to small and medium-sized enterprises (SMEs) and give them access to capital for expansion.

Madilyn Swift

February 22, 2024

2Min Reads

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Banking

The platform was created in response to this announcement with the goal of streamlining the way small and medium-sized enterprises (SMBs) obtain money when they might not otherwise fit the requirements of traditional banks.

On behalf of the banks and financial institutions unable to assist in the growth of small and medium-sized enterprises, Praetura is poised to provide asset and invoice credit to these companies.

Additional details about the collaboration

Banks that once offered asset or invoice finance facilities have closed their books, and those that do now tend to target larger companies that are more likely to satisfy their requirements for loans as well as their terms and conditions. As a result, the answer is expected to be a reaction to the current SME finance issue.

BankiFi and Praetura will work together to offer a solution that will enable traditional lenders to accommodate the various financial requirements and preferences of small businesses in the UK. Praetura will also assume the risk associated with the initial investment. Financial institutions and banks will be positioned as go-to sources for financing, and enterprises will be expected to return to them after meeting the requirements.

As a UK-based provider of embedded banking services for small and medium-sized businesses, BankiFi will keep putting the needs of small and medium-sized businesses first and optimising its dedication to securing financial opportunities and closing the loop between SMEs and providing a solution that meets their needs overall. An additional phase in the company's goal to expedite the development of current SME payment solutions is the relationship with Praetura. These were created with the intention of saving SMBs time when it comes to collecting payments and enhancing their ability to manage cash flow, expansion, and financing availability in general.In addition, BankiFi will make use of its bank-friendly distribution approach and the advantages of Open Banking to strengthen its ties with high street banks.

In addition to adhering to local industry regulations and rules, both organisations will prioritise satisfying the needs, preferences, and requests of their small and medium-sized enterprises.