Specialist lender Time Finance has announced a significant surge in revenue and profitability for the first half of the 2024/25 financial year. The company's strategic focus on invoice finance and asset finance has led to consecutive quarterly growth, culminating in record-breaking performance metrics. Notably, the gross lending book reached £209.4 million, marking an 11% increase from the previous year. Additionally, profits before tax soared by 44%, reaching £3.9 million. This success comes as the company prepares to release its unaudited H1 results on January 28, 2025. Net arrears decreased to 5%, reflecting improved credit quality.

The company attributes its success to a focused strategy on expanding its lending portfolio, particularly through invoice finance and 'hard' asset finance. These sectors accounted for 85% of new deals in the first half of the financial year and represented 77% of the total lending book by November. CEO Ed Rimmer emphasized the importance of maintaining credit standards while growing the business, which is evident in stable net bad debt write-offs at 1%. The opening of a new office in Birchwood Boulevard further underscores Time Finance's commitment to serving small businesses across the UK.

Strategic Focus Drives Lending Portfolio Expansion

Time Finance has strategically expanded its lending activities over the past few years, with a particular emphasis on invoice finance and asset finance. This approach has been instrumental in driving consistent growth in the company's lending book. By focusing on these core areas, Time Finance has not only increased its market presence but also maintained high credit standards. As a result, the company has achieved impressive milestones in terms of both volume and quality of loans issued.

Since June 2021, Time Finance has diligently worked to expand its lending portfolio. Invoice finance and asset finance now account for the majority of new deals and a substantial portion of the overall lending book. Specifically, these sectors represented approximately 85% of new deal volume during the first half of the 2024/25 financial year and comprised 77% of the total lending book by the end of November. In contrast, in 2021, these sectors accounted for 51% of new deals and 52% of the total lending book. This shift highlights the company's strategic pivot towards more lucrative and secure lending segments. CEO Ed Rimmer highlighted that this approach has allowed Time Finance to grow without compromising on credit quality, as evidenced by the stable nature of arrears and write-offs.

New Office Opening Enhances Service Delivery for Small Businesses

In November 2024, Time Finance opened a new office at The Square, Birchwood Boulevard, UK, aimed at expanding its asset finance services for small business owners nationwide. This move reflects the company's dedication to enhancing its service delivery and reaching a broader customer base. The new location provides a strategic advantage by offering better access to clients and improving operational efficiency. The expansion is part of a broader initiative to support small businesses across the UK, ensuring they have access to the necessary financial tools for growth.

The establishment of the Birchwood Boulevard office is a testament to Time Finance's commitment to innovation and customer-centric service. It allows the company to provide more personalized and efficient support to its clients, particularly in the asset finance sector. The office will serve as a hub for facilitating faster loan approvals and offering tailored financial solutions to meet the unique needs of small businesses. CEO Ed Rimmer expressed confidence that this expansion would further strengthen the company's position in the market and contribute to continued growth and profitability. With a renewed focus on margins and customer satisfaction, Time Finance aims to build on its current success and maintain its leadership in the industry.