ECNETNews reports that YouLend, a pioneering global embedded financing platform, has launched a new three-year financing facility in collaboration with Castlelake, an established alternative investment firm that specializes in asset-based private credit.
This strategic agreement enables YouLend to greatly enhance its lending capacity within the U.S., aiming to provide over $1 billion in revenue-based financing to small and medium-sized businesses (SMBs) over the next three years.
With a track record of funding more than 200,000 SMBs globally, YouLend has successfully delivered over $1.3 billion in financing across the UK and Europe, thanks to previous investments from Castlelake.
The enhanced financing facility bolsters YouLend’s U.S. investor base, allowing the platform to offer rapid and affordable financing solutions to a broader range of businesses.
“The United States is a critical priority for us. We’re thrilled to accelerate origination growth through this facility with Castlelake,” said a company spokesperson. “It enables us to scale our platform further and provide the best possible terms to our partners and their merchants. By increasing our capital capacity and diversifying our investor base, we believe we can better support SMBs in accessing the necessary capital to thrive.”
This financing agreement reinforces the long-standing collaboration between YouLend and Castlelake, which has already involved several international initiatives. Earlier this year, Castlelake provided subordinated debt to facilitate YouLend’s private securitization transaction in the UK.
The new partnership is set to drive growth in YouLend’s U.S. operations, ensuring that more SMBs gain quick access to essential financing options.
YouLend has rapidly evolved within the U.S. market, creating partnerships to offer customized financing solutions for SMBs. With an impressive 90% approval rate and swift time-to-market, YouLend has supported thousands of SMBs nationwide.
This announcement comes on the heels of YouLend celebrating a significant achievement, having funded 200,000 SMBs worldwide. Partners of YouLend report that businesses receiving funding see an average sales uplift of 26% within six months, contributing over $10 billion to GDP across YouLend’s primary markets to date.
