UK-based business financial platform Tide is expanding the availability of its convenience credit product, dubbed ‘Tide Credit Flex’, to become a feature product available to all eligible members.
The news comes shortly after Tide secured a £100million securitisation debt facility from Fasanara Capital, a London-based investment manager, to enable Tide to make Credit Flex available to all UK members.
Tide integrated Credit Flex, which is a short-term loan facility, into its app, to enhance support for members with short-term cash flow needs. Eligible Tide members are pre-approved, enabling them to immediately access up to £5,000 in credit. Individual loans have a four-month term, and an interest rate of 3.3 per cent per month.
At the time of a new payment, Tide members can use Credit Flex to spread the cost into smaller monthly payments to avoid a balance dip. For previous payments, members can get an instant cash boost by using Credit Flex to pay back over several months.
“As one of the UK’s leading SME lending intermediaries, we work with more than 120 lenders to enable strategic funding solutions,” said Oliver Prill, CEO of Tide. “Additionally, we provide a mechanism which seeks to make it easier for small businesses to spread the cost of bank transfers into smaller monthly payments to avoid a balance dip.
“We know flexible, short-term working capital is critical to the success of small businesses where managing cash flow is a constant challenge. With the new Fasanara facility, we are able to extend the Credit Flex mechanism in a way that we believe will benefit more of our members, improving the efficiency and responsiveness of our service provision.”
Tide made Credit Flex available to around 5,000 members in late 2023, where it proved to be hugely popular.
