The peer-to-peer lending platform Linked Finance loaned companies 5.5 million euros in July – a record month for the non-bank lender.
He reported strong demand for loans from businesses looking to restock and reopen as the economy begins to recover from the Covid shock.
The company said the July figure was three times the lending level in the same month last year, signaling a rebound in negative business sentiment at the height of the pandemic.
In July, Linked Finance lent money to more than 40 SMEs, with an average loan amount of â¬ 136,000.
Since the start of the year, Linked Finance has issued more than â¬ 21.6 million in loans, compared to â¬ 19 million for 2019.
The company has experienced strong lending growth across all sectors, particularly wholesale and retail trade, construction and manufacturing.
In January, Linked Finance was among the first approved non-bank lenders to offer loans under the government’s Covid-19 Credit Guarantee Program (CCGS).
Since then, the company has received two other additional funding allocations from the CCGS.
The platform also offers a new Recharge PME loan that provides pubs, restaurants, accommodation providers and cafes with a loan of up to â¬ 50,000 to help them reopen, restock and rehire as pandemic restrictions are relaxed.
âThe SME market is now clearly beginning the takeover process, although different categories are at very different stages of their takeover,â said Niall O’Grady, CEO of Linked Finance.
Since its creation, Linked Finance has distributed more than 162 million euros to more than 2,800 local businesses in all counties of the country.