Challenger & specialist banks

Secure Trust Bank

A London-listed UK challenger bank whose Commercial Finance arm provides multi-asset asset-based lending and invoice finance to SMEs and larger corporates.

What they do

Secure Trust Bank plc is a PRA-authorised, FCA-regulated UK retail and commercial bank, listed on the London Stock Exchange. Its Commercial Finance division (established 2014) is a dedicated asset-based lender, offering invoice finance/discounting, stock and inventory finance, plant, machinery and vehicle finance, and property-secured commercial loans, typically blended into a single multi-asset ABL structure. Lending is predominantly against receivables, releasing up to 90% of qualifying invoices, and is most often deployed around event-driven situations — M&A, MBOs/MBIs, refinancing, private-equity-backed acquisitions, and turnaround/restructure. The division reports providing nearly £20bn to over 250 UK businesses in its first decade.

Where they fit in a lower-mid-market raise

Secure Trust suits a borrower that is asset-rich — a strong debtor book, financeable stock, or plant and machinery — and a raise that is working-capital-led rather than pure cash-flow leverage. They are well-suited to event-driven ABL: funding an acquisition, MBO or refinancing where receivables and inventory can be mobilised to release availability, and they will sit alongside other lenders in a structured package. Their stated floor of around £3–5m means a £3–15m mandate sits squarely in their range, and for the lower half of that band they are one of the more credible bank-grade ABL houses rather than a clearing bank that treats sub-£15m ABL as marginal.

Where they are not the fit

They are less suited to asset-light businesses — services or IP-led companies without a substantial debtor book, stock or hard assets to secure against — where the borrowing base will not support the quantum. They are an ABL lender, not a cash-flow/unitranche house, so a sponsor seeking leverage on EBITDA with limited collateral is better served elsewhere. At the very bottom of a 3–15m raise (sub-£3m), the live product range starts around £5m, so smaller working-capital needs may fall below their structuring threshold.

On the record

  • Secure Trust Bank plc is authorised by the Prudential Regulation Authority and regulated by the FCA and PRA, with FCA firm reference number 204550, authorised since 01/12/2001.

    FCA Financial Services Register

  • Secure Trust Bank is a British retail and commercial banking group listed on the London Stock Exchange and a constituent of the FTSE SmallCap Index.

    Wikipedia

  • STB Commercial Finance offers funding between £5 million and £50 million across invoice finance, stock & inventory finance, plant/machinery/vehicle finance, and property-secured commercial loans.

    Secure Trust Bank — Asset-based Lending

  • The Commercial Finance division provides flexible asset-based lending and invoice finance products ranging in size from £3m to £50m for SMEs and larger businesses, releasing up to 90% of qualifying invoices under invoice discounting.

    Secure Trust Bank — Commercial Finance (Investor Relations)

  • STB Commercial Finance has provided nearly £20bn of funding to over 250 UK businesses since it was established ten years ago (in 2014), specialising in multi-asset ABL for M&A, refinancing, turnaround and other strategic events.

    Secure Trust Bank — STB CF injects £20bn into UK businesses

  • ABL deployment scenarios listed by STB include refinance, growth funding, PE/VC acquisitions, restructure and turnaround, MBOs/MBIs, cash-out/exits, and M&A, with the ability to work alongside a borrower's existing lenders.

    Secure Trust Bank — Asset-based Lending

This profile is a curated reference note drawn from public sources, not financial advice or a recommendation. Appetite and terms change; a lender's fit for a given credit is established by approaching it, not inferred from a page.