Non-bank ScotPac has announced a facility to help brokers get deals over the line, helping those working with SMEs a chance to offer multi-million dollar opportunities to their clients.
ScotPac has announced that they are expanding capabilities to take on much larger deals than in the past, and cited one such transaction of late in which they helped a client to work through $65 million debtor finance loan with $30m of funding.
“We had tight deadlines to finance and secure a mix of assets within a certain timeframe. ScotPac competed for the business and were successful largely due to their ability to meet our super tight timelines,” said James Macfarlane of HLB Debt Advisory, who brokered the deal.
“This was a complex large deal and we needed three lenders to make it happen - ScotPac from a debtor finance perspective, another lender providing specialist equipment funding and a third lender who had exposure on the property portfolio”.
“The deal was completed in 2020, just before the worst impact of the pandemic, and in the 16 months since then the business has gone from strength to strength.”
ScotPac has spoken in the past about the troubles that they are seeing in the SME marketplace in getting cash out to businesses that need it, and this deal may go a long way to helping brokers to help their clients further.
With deals such as the one that Macfarlane brokered, there is a very limited pool of non-banks that could offer the amount of capital required.
“ScotPac is one of only a few financiers with the capability to fund multi-million-dollar facilities by funding across a wide range of assets,” said Jon Sutton, CEO of ScotPac.
"With our ability to fund across a range of other asset classes, including our highly successful trade and asset finance businesses, we are finding we can deliver solutions that other funders simply can’t compete with.”