Love Finance has secured £45m in debt funding to boost lending to small and medium-sized enterprises (SMEs) across the UK.
The funding package comprises a £35m revolving credit facility from Paragon Bank and a £10m junior medium-term note programme from LGB Capital Markets.
The funding will let Love Finance lend directly from its own book and speed up loan decisions for UK SMEs.
Each loan will be mainly backed by Paragon Bank’s senior facility and LGB Capital Markets’ junior programme, with the rest funded by Love Finance itself.
Jack Smith (pictured), founder and CEO of Love Finance, said: “Securing our first debt financing is a major milestone for Love Finance.
“With the support of Paragon Bank and LGB Capital Markets, we can scale our own book lending, reach more SMEs across the UK, and continue driving innovation in business finance.
“This funding brings us another step closer to our goal of being the UK’s most trusted and accessible SME lender.”
Jamie Pickering, co-head of structured lending at Paragon Bank, said: “Paragon’s Structured Lending division is designed to support high-growth businesses with bespoke funding solutions that enable them to scale at pace.
“Our latest partnership with Love Finance reflects this mission.
“By backing innovative lenders like Love Finance, we’re proud to be helping strengthen the resilience and creativity of the UK’s vibrant SME sector, which plays a vital role in driving economic prosperity and regional development.”
Fergus Rendall, director at LGB Capital Markets, said: “We’re delighted to be supporting Love Finance at such a pivotal stage in their growth.
“Their data-driven approach to SME lending, combined with a clear vision and strong execution, makes them a standout in the market.
“This funding structure, combining Paragon’s senior facility with our MTN programme, provides a scalable and robust platform for the next phase of expansion.
“We look forward to seeing the business continue to go from strength to strength.”
