Outcome: Significant reduction in monthly payments, enhanced cash flow, and comprehensive funding for a new project.
At Momenta Finance, we believe that the right financial solution can be a game-changer for business growth. This case study highlights our successful collaboration with Acorn Business Finance to support a London-based solicitors firm in securing the funding they needed for a new project while simultaneously reducing their financial burden.
The Challenge
A well-established firm of solicitors in London approached Acorn Business Finance with a funding requirement for an upcoming project. During a detailed review of their business and financial needs, Stuart Gibson, Managing Director at Acorn, discovered that the firm had previously taken out a high-interest loan from a peer-to-peer lender. This loan was costing them nearly £7,000 a month—a significant strain on their finances.
The Solution
Recognising the potential for significant savings and better financial management, Stuart Gibson collaborated with Momenta Finance to devise a more cost-effective funding solution. Leveraging our extensive network of funders, Stuart proposed a bespoke financing option tailored to the client’s unique needs.
Our dedicated team, including Tom and Tim, worked closely with Acorn’s Simon Rickman to expedite the loan process. The solicitors firm, proactive and cooperative, swiftly provided all necessary documentation, enabling us to move quickly.
The Results
In just a few days from the initial proposal, we secured £150,000 in funding for the client. This new unsecured business loan not only covered the costs of their new project but also allowed them to repay the existing high-interest loan. The impact was immediate and substantial:
Reduced Monthly Payments: The new loan reduced their monthly payments from £7,000 to £3,980, providing a significant boost to their cash flow.
Business Growth: With lower monthly obligations, the firm now has more funds available for other business needs.
Tailored Financial Strategy: By understanding both the short-term and long-term goals of the client, we provided a financial solution that addressed their immediate needs and offered the flexibility for early settlement if desired.
This case is a testament to the power of collaborative, client-focused financial solutions. By working closely with Acorn Business Finance and thoroughly understanding the client’s business, Momenta was able to deliver a funding solution that not only met their project needs but also significantly improved their overall financial health.
In 2020, we reached a significant milestone when we were accredited by the British Business Bank to facilitate business lending during the COVID-19 pandemic. This was an exciting development for us, but it also brought to light various operational challenges within our organisation. Upon reviewing our decision-making funnel, we identified considerable opportunities to enhance our processes.
Determined to improve our decision-making through automation while valuing the expertise of our underwriters, we aimed to shift toward an “assisted decisioning” model. This would involve augmenting core processes with automated systems rather than replacing human judgment entirely. Consequently, we chose LendingMetrics’ Auto Decision Platform as our strategic partner to implement this new technology.
While our focus remains on lending excellence, we needed a partner who could guide us through the complexities of technological implementation. LendingMetrics was perfectly suited for this role. Despite initial reservations about the sophisticated capabilities of the Auto Decision Platform, the LendingMetrics team quickly brought us up to speed, involving us extensively in the implementation and launch process and integrating our feedback.
The implementation
“We are very data-driven,” we often say at Momenta Finance. Working with the Auto Decision Platform has opened up many avenues for optimisation discussions with LendingMetrics. Learning from data and making informed revisions to our decisioning processes are key pillars underpinning ADP’s design, aspects which have been pivotal throughout the implementation phase. This collaborative effort has resulted in a platform finely tuned to our specific needs.
Our close working relationship with the LendingMetrics team has been incredibly beneficial. “The biggest compliment I can pay them is their flexibility—it’s never just ‘computer says no’, it’s ‘let’s look into this’,” we often reflect.
The future
Looking to the future, we believe the perfect decision engine is just within our reach. We are committed to pushing further into embedded finance, deploying more innovative products, and upholding our data-driven approach. We are also exploring the potential of integrating AI to further enhance our decisioning processes, enabling us to analyse and learn from customer data more effectively.
As we continue to evolve, the Auto Decision Platform will remain central to our strategic vision at Momenta Finance.
Lending Metrics:
LendingMetrics is a multi-award-winning financial technology and data specialist. Its Auto Decision Platform (ADP) leads the way in assisted decisioning in the financial services sector, allowing lending approvals to be made in seconds rather than days. Since it was launched in 2016, ADP has permitted businesses to rapidly deliver increased lending volume, improve decision quality and reduce overheads. The platform utilises proprietary data solutions and is linked to all major credit rating agencies (CRAs) as well as other third parties, including Open Banking platforms. LendingMetrics is registered as a CRA and AISP Open Banking provider and is authorised and regulated by the Financial Conduct Authority. It was named ‘Best Credit Risk Solution’ at the Credit & Collections Technology Awards four years running, and ‘Best Technology Partner’ at the Car Finance Awards of 2020. Additionally, it was named an Organic Growth 25 business after demonstrating high levels of growth, and has featured as a top 20 ‘premier’ company on the Credit and Collections power list two years in a row. The company’s robust technology and data infrastructure and “bluechip” partnership eco-system focus on delivering scalable and secure affordability, suitability and predictive solutions to the entire financial sector.
This year, Momenta Finance was shortlisted in two categories for the Business Moneyfacts Awards 2024, Best Alternative Business Funding Provider and Best Business Loan Provider. These nominations are a testament to our ongoing dedication to delivering innovative and effective financial solutions to businesses across the UK.
Business Moneyfacts Awards 2024
We are proud to announce that Momenta Finance received a Highly Commended accolade in the Best Alternative Business Funding Provider category and a Commended recognition in the Best Business Loan Provider category.
“This recognition is a reflection of our collective commitment to excellence and innovation in the business finance sector. I am immensely proud of our team and thankful for the unwavering support from our brokers and partners.” – Luke Jooste, CEO at Momenta Finance.
A heartfelt thank you goes out to every member of the Momenta Finance team. Your hard work, dedication, and passion are the driving forces behind our accomplishments. Your efforts ensure that we continue to lead with innovation and service excellence in the competitive finance industry.
We owe a substantial part of our success to our brokers and partners. Your consistent support and trust empower us to continue innovating and improving. We are profoundly thankful for your partnership and look forward to achieving even greater successes together.
About Momenta Finance
Momenta Finance, formerly Merchant Money, is a leading provider of alternative finance solutions headquartered in London, United Kingdom. Established in 2013, Momenta offers a panorama of lending options, including unsecured and secured business finance, bridging and cash advances. The company’s commitment to transparency, tailored and credible funding has made it a trusted partner for businesses seeking financial support. Momenta Finance is accredited by the British Business Bank to provide loans under the Recovery Loan Scheme.
Shortly after receiving our British Business Bank accreditation, we hit the ground running, successfully disbursing several RLS loans with an average of £150,000 each. This initiative has not only bolstered our loan offerings but also solidified our commitment to supporting the backbone of the UK economy—SMEs.
A Leap in Property Originations
Working with HSBC, we introduced a £100m funding line focused on residential bridging in the UK. Marking a significant leap in our operations. This strategic move resulted in unprecedented growth in property originations, witnessing a surge of 172% relative to the last quarter of the previous year.
Setting New Benchmarks in Loan Approvals
Our credit team has been at the forefront of this journey, processing over 3,000 applications in the past quarter alone. This not only set new benchmarks in loan approvals but also played a crucial role in providing essential funding to SMEs, leading to remarkable growth in our Business Loan book.
Exciting Updates: Streamlining Processes and More
We’re not stopping there. Our journey towards innovation and excellence continues with significant improvements to streamline our processes. We’ve said goodbye to MI on applications, simplifying the process to make it quicker and more efficient.
Looking Ahead
As we move forward, our focus remains on enhancing your experience and success. These achievements and updates are just the beginning. With the continued support from our brokers and our dedicated team, we’re poised to reach even greater heights in Q2.
“As we wrap up an incredible Q1 and gear up for an even more promising Q2, the strides we’ve made are not just numbers on a page—they’re a reflection of our unwavering commitment to our clients and partners. We’re not just funding loans; we’re fuelling businesses across the UK.” – Luke Jooste, CEO at Momenta Finance.
Momenta Finance, formerly Merchant Money, is a leading provider of alternative finance solutions headquartered in London, United Kingdom. Established in 2013, Momenta offers a panorama of lending options, including unsecured and secured business finance, bridging and cash advances. The company’s commitment to transparency, tailored and credible funding has made it a trusted partner for businesses seeking financial support. Momenta Finance is accredited by the British Business Bank and upholds the highest industry standards.
Daniela Cunningham joined us in 2014 originally as a credit underwriter, today she serves as the head of financial operations. Daniela’s analytical abilities, coupled with an unwavering commitment to ongoing learning, have played a critical role in our growth and success to date.
Jon Stern, CFO of Momenta Finance commented, “She is often the one to step in and ensure continuity, whether during a colleague’s leave or when gaps appear in the workflow”. Daniela’s proactive nature and holistic understanding of our operations has ultimately led to the formation of her current role, a synergy of underwriting, accounting, and collections.
Since our inception in 2013, we’ve watched both Daniela and the company evolve. From FCA authorisation in 2017, throughout the technological leaps with CL Originate and CL Loan and even during British Business Bank accreditation Daniela has embodied our own approach to diverse and adaptable financial solutions.
Throughout our expansion over the last decade, Daniela has been a driving force behind significant operational enhancements. Her innovative contributions, especially in improving our loan payout processes and co-developing our CL Loan module, have been crucial in reducing risk and safeguarding our financial health.
Daniela’s personal mantra, inspired by her father’s guidance, is that nothing is impossible with the right mindset and motivation. She champions this belief, encouraging young women in finance to take on complex challenges and advance their expertise.
Looking to the future, Daniela anticipates further integrating automation into our processes while maintaining the personal touch that distinguishes our customer service. Her strategic outlook not only aims to enhance our team and operations but also ensures we remain a pioneer in the financial industry.
The NACFB Commercial Lender Awards stand as a celebration of excellence within the lending community, and we’re honored to be recognised in the category of “Unsecured Funder of the Year.” We extend a heartfelt thank you to our dedicated brokers whose ongoing support has been instrumental in our journey.
Unsecured Product Features:
Our unsecured lending product offers tailored financing solutions, providing businesses with the necessary support and flexibility they require. This product includes:
Financing up to £250,000
Term of 6 – 60 months
No early repayment charges after 12 months
Your ongoing support means the world to us, and we’re immensely grateful for the opportunity to continue making a significant impact within the industry.
Momenta Finance, formerly Merchant Money, is a leading provider of alternative finance solutions headquartered in London, United Kingdom. Established in 2013, Momenta offers a panorama of lending options, including unsecured and secured business finance, bridging and cash advances. The company’s commitment to transparency, tailored and credible funding has made it a trusted partner for businesses seeking financial support. Momenta Finance is accredited by the British Business Bank and upholds the highest industry standards.
A commercial mortgage is a specialised loan designed for businesses that currently own their trading premises or are looking to purchase new or additional business premises, it is tailored to meet the unique needs of this type of commercial property financing.
Exploring Our Interest-Only Commercial Mortgages:
We take a personalised approach, using manual underwriting to consider the bigger picture and provide tailored finance solutions for our clients. Here’s what you can expect from our Interest-Only Commercial Mortgages:
Loans of up to £750,000
24-month Term
Interest-only for the full term
Up to 65% Loan-to-Value (LTV)
No exit fees
Interest rates starting at 7.5% + SONIA
Is an Interest-Only Commercial Mortgage the right solution?
If you already own your trading premises and need to access equity for various reasons like boosting cash flow, renovating the building, purchasing assets, or expanding your business, our commercial mortgage might be the perfect fit.
If you’re looking to buy your trading premises from the current landlord or acquire new ones to expand your business, our team can help.
Here’s why it might be ideal for your business’s growth plans
Flexibility for Long-Term Goals: An Interest-Only Commercial Mortgage provides a more extended loan term, typically 24 months, allowing you to plan for your business’s future without the constraints of shorter-term financing options.
Interest-Only Payments: With this mortgage, you’ll only pay interest throughout the loan term, freeing up valuable working capital for other aspects of your business.
Bullet Repayment: When the loan matures, you can efficiently settle the principal amount with a bullet repayment, ensuring a smooth and manageable exit strategy.
Competitive Terms: Momenta Finance offers competitive interest rates starting at 7.5% plus the Sterling Overnight Index Average (SONIA), making it an attractive financing option.
Quick Funding Turnaround: In the fast-paced business world, time is of the essence. Our Interest-Only Commercial Mortgages are designed for a quick turnaround, with most loans processed in less than four weeks.
How to apply for an Interest-Only Commercial Mortgages
To get started, complete and submit an application form. We’ll then assess the property’s value and conduct legal due diligence. If approved, you’ll receive a mortgage offer.
To apply, you will need to supply the following documents:
We’re is committed to helping you navigate the world of commercial property finance. If you’re ready to expand your business, purchase office space, or upgrade your premises, our team is here to guide you through the process and provide the financial tools necessary to propel your business forward.
Contact us today to explore how our Interest-Only Commercial Mortgages can be tailored to your unique business needs. Your future success begins with the right financing choice.
Momenta Finance, formerly Merchant Money, is a leading provider of alternative finance solutions headquartered in London, United Kingdom. Established in 2013, Momenta offers a panorama of lending options, including unsecured and secured business finance, bridging and cash advances. The company’s commitment to transparency, tailored and credible funding has made it a trusted partner for businesses seeking financial support. Momenta Finance is accredited by the British Business Bank and upholds the highest industry standards.
Jeremy, also known as Jez, brings his record of finance excellence to his role as Sales Director at Momenta Finance. With a distinguished career marked by consistent achievements, Jez exemplifies leadership, growth, and relationship-building.
Jez has an extensive background in various sectors of finance, notably excelling in working with brokers. His career began in leasing, with Econocom, formerly ECS a wholly owned subsidiary of Soc Gen. He later ventured into business lending at Funding Circle, showcasing his adaptability. His leadership talents shine through his experience at Funding Circle, where he played an instrumental part in its transformation from a company of 70 to a formidable size today. Throughout, Jez’s knack for new business development is evident, consistently surpassing targets and expanding market presence.
Beyond his professional achievements, Jez is recognised for his genuine and open approach to relationship-building. His emphasis on trust has not only fostered strong external partnerships but also a collaborative atmosphere internally.
Jez’s dedication is not confined to the workplace. Family comes first; his tight-knit family of four recently welcomed a new member, an energetic pup named Dotty. His commitment to coaching and development is also evident in his coaching of two football teams on weekends.
Contact Jez
For brokers looking to connect with a seasoned professional who understands the nuances of the industry, Jez is the go-to person. Don’t hesitate to reach out and connect jeremy.crinall@momentafinance.co.uk.
Momenta Finance, formerly Merchant Money, is a leading provider of alternative finance solutions headquartered in London, United Kingdom. Established in 2013, Momenta offers a panorama of lending options, including unsecured and secured business finance, bridging and cash advances. The company’s commitment to transparency, tailored and credible funding has made it a trusted partner for businesses seeking financial support. Momenta Finance is accredited by the British Business Bank and upholds the highest industry standards.
Our commitment is reflected in our Refinancing Solutions – a pathway towards managing existing loans more effectively.
Our refinancing loans are designed to offer borrowers better interest rates and extended loan terms, making their existing loans more manageable and affordable. Whether it’s reducing monthly obligations, lowering interest payments, or gaining more control over one’s financial future, refinancing offers flexibility and customisation.
Why Opt to Refinance Existing debt?
Borrowers often opt for refinancing when faced with high interest rates or changing financial circumstances. The decision to refinance can stem from various motivations:
Lower Interest Rates: With fluctuating interest rates, borrowers may find themselves paying higher interest on their existing loans. Refinancing allows them to secure a new loan with a lower interest rate, resulting in reduced interest payments over time.
Improved Loan Terms: Longer loan terms provided through refinancing can lead to decreased monthly payments, providing borrowers with more breathing room in their budgets. This extended timeline can be especially beneficial when managing multiple financial commitments.
Debt Consolidation: Refinancing can also be an avenue to consolidate multiple loans into a single, more manageable payment. This streamlines finances and simplifies the repayment process.
Recent Refinanced Deals
Within the first two weeks of August, we successfully refinanced several loans, presenting significant benefits to borrowers. Notably, a key highlight of these transactions was the reduction in monthly interest rates, affirming our steadfast dedication to bolstering the financial wellness of our borrowers. It’s worth highlighting that this reduction resulted in interest rates being lowered by an impressive range of between 1.3% – 3.9%.
Additionally, many borrowers not only benefited from reduced rates and longer terms but also gained access to fresh funds to further support their financial goals. While we take pride in these achievements, our work does not stop here. Presently, our dedicated team are diligently working on additional refinance offers, meticulously tailored to address the unique and evolving needs of our diverse clientele.
As the financial world continues to evolve, we stands as a resolute partner, unwavering in our commitment to equipping borrowers with the necessary tools and strategies to confidently navigate financial uncertainties while seizing emerging opportunities.
Momenta Finance, formerly Merchant Money, is a leading provider of alternative finance solutions headquartered in London, United Kingdom. Established in 2013, Momenta Finance offers a panorama of lending options, including unsecured and secured business finance, bridging loans and business cash advances. The company’s commitment to transparency, tailored and credible funding has made it a trusted partner for businesses seeking financial support. Momenta Finance is accredited by the British Business Bank and upholds the highest industry standards.
This strategic expansion has paved the way for an impressive 145% upswing in originations across the spectrum of its product offerings, cementing Momenta Finance’s reputation as an introducer-centric financial partner that thrives even in challenging times.
Highlighting its financial strength, Momenta Finance secured funding from two esteemed partners. With the backing of a £115 million funding line from Barclays Bank PLC and the strategic collaboration with Quilam Capital, Momenta Finance is well-positioned to continue providing essential financial solutions to businesses.
A key distinguishing feature of Momenta Finance’s success lies in its commitment to a quick turnaround. As businesses grapple with time-sensitive financial needs, Momenta Finance has streamlined its processes, boasting a service level agreement (SLA) that ensures swift responses and efficient solutions. This dedication to a quick and efficient response empowers businesses to navigate uncertainty with confidence.
A recent illustration of Momenta Finance’s agility is the funding of an unsecured £250,000 loan to a company operating in the events space. Introduced via a trusted partner, the 5-year facility was funded in less than 4 days from submission. This accomplishment serves as a testament to the company’s commitment to providing versatile financial solutions and efficiently showcases Momenta Finance’s ability to swiftly assess, approve, and deliver on financial requirements.
The company’s introducer-centric philosophy, coupled with robust funding partnerships, solidifies its status as a trusted ally in navigating the complexities of the current economic landscape.
Momenta Finance, formerly Merchant Money, is a leading provider of alternative finance solutions headquartered in London, United Kingdom. Established in 2013, Momenta Finance offers a panorama of lending options, including unsecured and secured business finance, bridging loans and business cash advances. The company’s commitment to transparency, tailored and credible funding has made it a trusted partner for businesses seeking financial support. Momenta Finance is accredited by the British Business Bank and upholds the highest industry standards.
