Small and medium-sized enterprises (SMEs) often face difficulties in accessing financing, limiting their growth opportunities. Lenkie, a U.K.-based cashflow management platform, has secured $62 million in Series A funding to expand its payables financing services. This funding aims to provide SMEs with faster and more adaptable financial solutions, addressing the limitations of traditional lending models. Lenkie plans to leverage its proprietary underwriting technology and real-time performance data to offer tailored financing options to businesses in need of better cash flow management.
Lenkie has previously raised capital to enhance its financial offerings, consistently focusing on improving access to funding for SMEs. The company has facilitated funding payments to thousands of suppliers across multiple countries, demonstrating its commitment to financial inclusion. Compared to earlier developments, this latest investment signifies an expansion of its operations and an effort to refine its technology-driven financing model. By continuously investing in its platform, Lenkie seeks to address inefficiencies in the borrowing process and provide businesses with more flexible financing options.
How Will Lenkie Use the New Funding?
The newly raised capital will be directed toward expanding Lenkie’s SME financing services, allowing more businesses to access immediate funding. The company states that its cashflow platform enables SMEs to obtain financing on demand, overcoming the slow and rigid processes of traditional credit assessments. By integrating real-time business performance data, Lenkie aims to improve its ability to assess financial viability and provide funding solutions tailored to each business’s specific needs.
What Makes Lenkie’s Approach Different?
Unlike conventional lenders that rely on outdated credit evaluation methods, Lenkie utilizes proprietary technology to assess businesses in real time. This allows for quicker decision-making and greater financial inclusion for SMEs that may struggle with traditional financing channels.
“At its core, all lending is built on a foundation of trust,” said Lenkie co-founder Sanjeev Jeyakumar. “We’re able to use data and technology to understand the nuances of each business to build that trust in seconds. This enables us to provide fast and flexible capital when it’s most impactful. By financing specific transactions we’re creating a new model of financial inclusion that aligns with how modern businesses operate and grow.”
Since its founding in 2021, Lenkie has provided over £70 million ($89.5 million) in funding to SMEs and facilitated payments to 2,000 suppliers across 40 countries. The company’s focus on transaction-based financing allows businesses to access capital precisely when needed, reducing growth obstacles caused by cash flow shortages.
Lenkie’s latest funding round reflects a broader trend in SME financing, where businesses are seeking more flexible and technology-driven financial solutions. Traditional banks remain dominant in the sector, but high fees and limited personalization have created gaps in financial support. This has led to increased reliance on alternative financing platforms like Lenkie, which offer SMEs a more efficient way to manage working capital and supplier payments.
Access to financing remains a critical factor for SME growth, and solutions like Lenkie’s aim to address limitations in existing lending models. By focusing on fast and adaptable financing, Lenkie positions itself as a viable alternative for businesses facing delays in traditional credit approvals. As SMEs continue to explore new financial solutions, the role of technology-driven lending platforms is expected to grow, providing businesses with more options to sustain and expand their operations.
