Brightstar launches its invoice and asset finance arm in response to growing demand from intermediaries, following a successful seven month pilot.The news comes after recent data from the Finance and Leasing Association showed that asset finance grew by 9% in May this year, compared with the same month last year, and asset-based finance loans increased by £25billion in 2015. This suggests that businesses are increasingly borrowing against purchases as they are finding it more difficult to get unsecured loans from the high street. Brightstar’s new finance arm offers intermediaries a full suite of services for clients looking at alternative ways to finance their business needs.
Individuals and businesses are increasingly using to asset finance to obtain assets, including equipment and machinery, and for leasing and hire purchase agreements. In comparison, invoice finance aims to improve cash flow. Consisting of factoring and confidential invoice discounting it is primarily used when funding is secured against unpaid invoices.
Brightstar’s invoice and asset finance team, which also covers unsecured lending, has seen significant growth since the business arm was first piloted in December 2015, after the appointment of Paul Debney who heads up the division. Having previously worked in the SME and corporate banking sector, as well as at HSBC and Clydesdale Bank, Paul has more than 30 years’ experience in the banking and finance industry. Paul Debney, commercial finance specialist at Brightstar, says, “Raising finance carefully is more vital than ever post-Brexit, and it is clear that more individuals and businesses are understanding how their assets can be used to unlock capital.
“Invoice and asset finance are growing areas of lending and, as a result, it is no surprise that borrowing against assets has become a more mainstream option for those looking to unlock funding and fuel growth.
“While working with lenders who offer a flexible approach to underwriting, Brightstar’s new invoice and asset finance arm allows the team to be even more specialist in an array of areas of commercial finance, offering intermediaries a full suite of solutions to achieve their goals. We also work with a range of specialist lenders which allows us to go out to the whole of the market in order to meet a customer’s individual requirements.”