Cashplus, who is newly in possession of a banking license, has launched a £ 50million ($ 69million) fundraiser to help grow the business as well as meet loan requests, according to Reuters Wednesday (February 17).
CEO of the company Rich Wagner said the fundraiser was approved late last week. He said he sought equity from growth investment firms.
This would be the first outside investment for Cashplus, apart from the support it has received from its main shareholder Trident Capital. The California-based Trident has raised £ 20million to date, Reuters writes.
According to Wagner, the company plans to provide £ 1 billion in new loans within five years. So far he has loaned 640 million pounds.
“The credit profile of our clients is quite unique. We see individual directors framing business ideas as a contingency against losing their jobs, ”he said, according to Reuters.
Cashplus, in business since 2005, is a financial technology company providing digital checking accounts and loans to small and medium-sized enterprises (SMEs) and their customers.
It became a bank earlier this month after receiving a license from the Bank of England.
Cashplus also recently updated its mobile app to add the Google Maps expense tracking functionality, PYMNTS wrote, which he said would help use Google Maps to track where and when payments were made. Transactions are easy to spot and are accompanied by each company’s logo. Additionally, fraud prevention capabilities are available, allowing users to immediately put their accounts on hold if anything suspicious happens.
Additionally, the tool works to categorize payments, so users can track details like trade payments or payments for a specific job or customer.