Birmingham-based FinTech Lovey has secured a senior secured credit facility of up to £250m from alternative asset manager Pollen Street Capital, marking the largest funding line in the SME lender’s history.

The facility comprises £50m in committed capital and a £200m accordion, giving Lovey additional capacity to expand lending from its own balance sheet while continuing to grow its brokerage operations.

The funding will support the company’s efforts to increase its lending capacity and provide more UK small and medium-sized enterprises (SMEs) with access to credit. Lovey said the deal reflects institutional investor confidence in its lending model, technology and long-term growth plans.

Founded by Jack Smith in 2016, Lovey has grown from a one-person operation into a business employing 120 people. The company has provided more than £600m in loans to over 11,000 SMEs across the UK, targeting businesses seeking faster and more flexible access to finance.

Lovey entered direct lending in 2022, building on its experience as a broker to address gaps in the SME finance market. It now operates both models, allowing businesses to borrow directly from Lovey or access funding through its network of lending partners. The company says businesses can submit an enquiry in 60 seconds and may receive funds within four hours.

The new facility follows funding arrangements announced last year, including a £35m revolving credit facility from Paragon Bank and a £10m junior medium-term note programme from LGB Capital Markets.

Ashurst Perkins Coie advised Lovey on the transaction, while Simmons & Simmons represented Pollen Street.

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