Cash management platform Satago has partnered with Lloyds Bank to transform access to short-term finance for its UK business customers.
According to Satago, the agreement builds on the existing partnership, extending the use of Satago’s technology to help Lloyds Bank customers get access to cash against invoices due. Furthermore, it will power a single unified solution for customers of all sizes and facility requirements that improves the client user experience while reducing risk exposure and cost-to-serve.
Lloyds has also invested £5m in Satago in exchange for a 20% equity stake, something Satango claims demonstrates its ongoing commitment to reinventing existing invoice financing practices and delivering the best outcomes for its SME customers.
Satago added that Lloyds Bank Commercial Banking customers will benefit from real-time insights into which companies pay their invoices on time as well as a suite of tools including automated invoices, reminders, payment requests and integrated credit reporting to help them track their finances and outstanding payments.
Lloyds Bank Commercial Banking, Working Capital, managing director Gwynne Master said, “Our partnership with Satago goes beyond a supplier-buyer relationship. The equity stake we have taken in the business underscores our commitment to deliver best-in-class, future-focused solutions for UK businesses by partnering with a market leading provider with proven capability.
“Our new platform enhances both the choices and the speed at which finance solutions will be offered to small and medium sized businesses. We are leveraging the advanced technology of Satago’s platform to digitally match businesses needs and solutions for either Single- or Whole-Book Invoice Factoring to produce tailored customer-centric outcomes, quickly.
“Most important, the solution gives more businesses better control of their cashflow. We can now make it easier for customers to identify their invoices that can be financed, reduce payment times, and simplify end-to end processes. Businesses are now able to focus on running their day-to-day business and grow, rather than chase payments.”
Satago CEO Sinead McHale added, “The last two years have been hugely difficult for businesses everywhere to navigate. Across the country we’ve seen countless examples of SMEs that have had to innovate and pivot quickly to maintain their critical role in the economy, all while chasing late payments and challenging debts.
“That’s why we are extremely excited to partner with Lloyds Banking Group to bring invoice financing into the 21st century. It’s a market that has changed very little in decades, so we’re delighted that Lloyds shares our vision to make it available to all UK businesses regardless of size or sector. Lloyds’ investment our company is testament to the ability of our intelligent technology, and our innovative use of data, to put SMEs across the UK back in control of their own finances and bounce back stronger.”
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