Novuna Business Cash Flow launches £2m–£25m ABL proposition

Novuna Business Cash Flow has expanded into asset-based lending (ABL) with the launch of a new £2m–£25m funding proposition for larger and more complex UK businesses.

The new facility enables businesses to raise finance against a combination of receivables, inventory, plant and machinery and commercial property through a single funding arrangement.

All facilities will include invoice finance as part of the overall structure and will range from £2m to £25m. Novuna said the proposition will bring funding across different asset classes under one overall limit, lending rate and monthly fee, rather than requiring businesses to manage separate facilities.

The launch represents an expansion beyond Novuna Business Cash Flow’s traditional receivables finance offering and is intended to support mid-sized and larger businesses seeking funding for acquisitions, investment, restructuring and growth.

The lender has also appointed Neil Sturgeon as Corporate Business Development Manager to support the expansion.

Sturgeon brings more than 40 years’ experience across asset-based lending, receivables finance and working capital, including senior business development and origination roles with two major banks.

He will work alongside Dan Lambourne, Head of Relationship Management and Corporate, to develop Novuna’s presence in the corporate funding market and relationships with corporate finance advisers, debt advisers and professional introducers.

Dan Lambourne said: “We’re seeing more businesses whose funding requirements can no longer be met by looking at receivables in isolation. They may have considerable value tied up across stock, machinery, property and invoices and want a funding structure that reflects the strength of the whole business.

“Our new ABL proposition gives us the ability to bring those assets together into one facility and provide substantially more funding headroom as businesses grow, invest or pursue acquisitions.

“Neil brings a huge amount of ABL experience and strong relationships across the corporate finance market. His appointment gives us additional expertise as we build our presence in this part of the market.”

Neil Sturgeon added: “There is a real opportunity to build a strong ABL proposition at Novuna. The business already has a market-leading invoice finance platform, significant funding capability and a clear ambition to do more in the corporate market.

“For advisers and their clients, the important thing is having a lender that can understand the whole funding requirement rather than trying to make a business fit a particular product. That is exactly where ABL can add value, particularly for businesses going through periods of growth, acquisition or change.”

The launch forms part of Novuna Business Cash Flow’s strategy to broaden its offering beyond traditional invoice finance into wider working capital and cash flow funding.