Small business financing across Europe is set to receive a boost following a new partnership between global embedded finance platform Liberis and myPOS, a payment service provider to European SMEs.
Through the collaboration, myPOS will be able to offer revenue-based financing in 10 European countries, to fund SMEs’ expansion plans and new projects.
The new partnership will provide revenue-based financing initially to merchants in the UK, before expanding to other countries, including Germany, Ireland, Iceland and Finland.
A working paper published by the European Investment Fund revealed that SMEs rely disproportionately on bank-based debt instruments, despite one in four reporting difficulty accessing finance.
Rob Straathof, chief executive officer of Liberis, said that small businesses are tight for both time and money.
“This partnership empowers myPOS to create an even more comprehensive one-stop shop for SMEs by including revenue-based financing to help them grow their business, fuelled by Liberis’ technology,” Straathof said.
Mario Shiliashki, chief executive officer of myPOS, added: “Our payments platform provides a large number of payment methods to boost checkout conversion and we offer our merchants instant access to their funds as soon as a purchase is completed.
“Now, with Liberis, we will take this one step further by providing borrowing options to merchants, thus helping them further boost growth with the capital they need to succeed.”
Earlier in the year, Liberis teamed up with ecommerce software provider Shop Circle to help plug the small business funding gap in the UK and US.
At the time, the Bank of England put the UK’s SME funding gap at £22 billion, while the US Small Business Administration reported that two out of three business owners who applied for credit did not receive the funding they needed in 2022.
