Sonovate partnered with working capital fintech Demica, to assist Sonovate and BNP Paribas on the transaction. Funding partner of Sonovate, M&G Investments, also invested £15 million as part of the agreement.

Sonovate is moving towards reaching its £1.3 billion target funding goal this year, with a £2 billion goal set for 2023. The company specialises in embedded finance and payment focused technology to cater to the online workplace. The fintech plans to channel the new capital into widening its customer outreach to more businesses and improving on export financing services.

On the funding announcement, Richard Prime, CEO and co-founder of Sonovate, stated: "Sonovate’s vision is to be the funding platform for the future of work. As we scale, we will continue to integrate into the wider ecosystem with the aim of constantly adding value in our market. Deals such as this one provide us an exceptional level of flexibility, which we can extend to our customers, enabling them to access innovative funding solutions via a state-of-the-art platform.”

Renaud Chalmet, deputy head of Corporate Receivables Securitisation, BNP Paribas, commented: “This securitisation is designed to support the new world of flexible working. It is scalable, adaptive, and provides stability in the long term. We are excited to be working with Sonovate, supporting them as they continue to deliver rapid growth and empower the contingent labour marketplace with innovative solutions.”

Significant shifts in the working environment in recent years has led to growth in the labour market, with a study by the Staffing Industries Associates recording that annual sales revenue is up by 80% for contracts placements. Sonovate has funded over £2.75 billion invoices and 3,300 business, which paid over 30,000 freelancers and contractors in more than 40 countries.