Insurtech Nimbla has launched invoice insurance protection against nonpayment for UK SMEs exporting to EU-based firms.
As firms begin repaying their CBILS and BBLS loans this month, they are likely to need additional finance. Trade credit insurance can help them to secure funding and lead to higher borrowing limits and more favourable terms. With the UK debt burden at £2.3 trillion (ONS), trade credit debt may also represent a more sustainable form of debt than loans, in that it channels support to viable firms and encourages them to grow.
Industry disruptor Nimbla invoice insurance has turned traditional trade credit insurance on its head to make a product that has long benefitted larger corporations more accessible for SMEs. Following a successful in-branch roll out, Nimbla recently launched as a partner on Barclays.co.uk. Expanding upon Nimbla’s existing distribution with leading banks, funders and brokers, the launch will improve access to rapid invoice protection for Barclays’ one million SME customers in the UK.
Whereas whole turnover trade credit insurance policies can cost upwards of £5,000, Nimbla’s single invoice cover starts at only £5.60. Invoice insurance also prevents small businesses from paying for insurance that is later withdrawn, which can occur with whole turnover policies. Nimbla’s digital self-service platform allows SMEs to check the real-time credit risk of an invoice, insure it in under three minutes, and have it collected if overdue.
Nimbla now insures invoices to firms in the following EU countries; Germany, France, Switzerland, Sweden, Finland, Denmark, Norway, Austria, Belgium, Luxembourg, the Netherlands, Portugal, Spain and Italy.
Elizabeth Jenkin, CEO at Nimbla said:
“Nimbla’s DNA is helping small businesses. At this difficult time as we emerge from the pandemic, Nimbla’s invoice insurance protection offers our customers the security and confidence to protect themselves, obtain essential financial assistance and grow sustainably.
Our intention in offering insurance on exports has been to protect the underserved community of SMEs against potential further economic crises now that we have left the EU. We are proud to be working with strategic partners like Barclays Bank and trade-association led export platform Open Borders Direct to facilitate international trade for SMEs at this time.
We will continue to design and launch market disrupting products to assist SMEs with recovery during the course of 2021. Watch this space.”
Nimbla makes sure businesses get paid for their hard work, even if a customer becomes insolvent. Founded in 2016, the company is on a mission to give SMEs the confidence to trade with a peace of mind using a new insurance product: single invoice insurance.
Backed by expert risk analysts, Nimbla’s digital insurance platform allows SMEs to check a buyer’s ability to pay an invoice and insure it against non-payment in under three minutes, from £5.60. Safeguarded against insolvent customers, SMEs can expand into new and existing markets and secure better borrowing terms. The platform can be accessed directly (www.nimbla.com) and through leading funders, brokers and banks.
Based in London, Nimbla aims to bring the trade credit industry into the 21st century. Challenging traditional insurance models, the cover is flexible and adapts to fit any business — whether it’s on a one-off invoice or multiple transactions.