The British Business Bank has approved UK fintech Previse to use CBILS backed loans and its artificial intelligence technology to get small businesses paid instantly.
The Coronavirus Business Interruption Loan Scheme, delivered through British Business Bank accredited lenders, is designed to support the continued provision of finance to UK smaller businesses (SMEs) during the Covid-19 outbreak. The scheme enables lenders to provide facilities of up to £5 million to smaller businesses across the UK who are experiencing lost or deferred revenues, leading to disruptions to their cash flow.
Since the lockdown was announced, many large corporates have extended their payment times for smaller suppliers by up to 20%. Previse’s InstantFlow Cash Account will provide SME suppliers with instant access to cash based on the flow of invoices, POs and payments that come from trading with large corporates.
“The current climate has exacerbated the late payment challenge faced by small businesses on a daily basis. Many are fearing for their futures simply because their clients refuse to pay on time. That’s why it’s so vital that we have a broad range of providers accredited to the business interruption loan scheme,” said Martin McTague, Policy and Advocacy Chairman at the Federation of Small Businesses (FSB).
“Over the long-term, we need to see big corporations working collaboratively with finance platforms and small businesses to bring our endemic poor payment culture to a conclusive end.”
“The economic disruption from coronavirus has created a perfect storm of misery which risks pushing many SMEs over the edge into bankruptcy. Our top priority has been to develop a practical solution for small British businesses which will provide the immediate support they need, without building up unsustainable debts for the future,” added Paul Christensen, CEO of Previse.