Praetura secures £150m NatWest ABL facility to boost SME funding

Specialist lender Praetura has secured a £150 million asset-based lending (ABL) facility from NatWest, in a move designed to expand funding support for small and medium-sized enterprises (SMEs) across the UK.

The back-to-back facility will significantly increase the funding capacity of Praetura’s Sales Finance division, enabling it to provide a broader range of financial products including invoice discounting, ABL and cash flow loans to growing businesses.

The agreement builds on a longstanding relationship between the two organisations. NatWest was the inaugural funder of Praetura’s Sales Finance arm – originally launched as Praetura Commercial Finance in 2016 – and the latest deal reinforces confidence in the lender’s ability to deploy capital effectively amid ongoing economic uncertainty.

Praetura said the new facility will complement its existing securitisation structure and enhance its ability to deliver flexible funding solutions tailored to businesses facing both domestic and global economic pressures.

Access to scalable funding has been central to Praetura’s growth strategy, with the firm trebling its loan book to £600 million over the past five years.

The lender has also reported strong recent performance. In 2025, it supported more than 1,500 UK SMEs with £328 million in funding. Its 150-strong team operates from offices across the North West, alongside a wider presence in London, the Midlands, the South and the North East.

Recent deals include a £1.4 million ABL facility for Northamptonshire-based manufacturer Double R to support a management buy-in, and £1.5 million for Hydeline Furniture to fund product expansion and strengthen its commercial strategy. Praetura has also backed home fragrance producer Contract Candles & Diffusers as it enters its next phase of growth.

“Closing this facility with a renowned and respected institution reflects the quality of the whole Praetura business, and empowers us to offer more extensive funding support to UK SMEs as they continue to navigate both the challenges and opportunities created by the current economic outlook,” he said.

“The entire organisation remains committed to a common goal of supporting the sustainable growth of these businesses and we are grateful for NatWest’s backing to help us do exactly that.”

Andrew Barraclough, head of ABL origination at NatWest, added that the bank was pleased to extend its support.

“We are delighted to support Praetura with this significant facility,” he said. “The business has an experienced management team, strong credit discipline and an excellent track record in supporting UK SMEs.”

He added that NatWest continues to play a key role in backing specialist and alternative lenders through structured ABL solutions, helping to extend funding “safely and responsibly” across the UK economy.