The facility will allow the invoice finance provider to increase its funding for mid-market businesses and will sit alongside the existing UK securitisation facility of £630m, which BFS agreed with Barclays, Bank of America Merrill Lynch, HSBC and Lloyds back in November 2015. 

BFS has now committed funds of £900m to UK SMEs and the new facility will enable it to support a wider asset-based lending product providing funding against inventory and accounts receivable as well as allowing the funding of non-UK debt.

David Postings, global chief executive for BFS, said its focus on supporting and funding UK SMEs remained undented.

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“Mid-market businesses with a turnover of £5m plus have been a real area of growth for BFS. 

“We have increased funding for mid-market businesses by 12% over the past year as we have concentrated our expertise on this segment. 

“Our long-term securitisation and bilateral facilities are testament to the commitment we have made to ensure that UK businesses have the funding they need that will unlock their businesses’ potential.”    

The facility will last until 2020 and Andy Pickford, development director for RBSIF, said it was delighted to be supporting BFS with this additional facility. 

“Bibby Line Group and BFS have both been longstanding customers of RBS, and we are pleased to have been mandated to provide this new facility.”  

David added: “Uncertainty over the future direction of the UK economy is hampering businesses’ ability to plan and execute their long-term business plans. 

“Through this facility we are able to provide mid-market businesses with security of funding, especially those that trade and incur non-UK debt, therefore, helping UK PLC to go to the markets where they can exact the most growth.”