Propell Holdings (ASX: PHL) has achieved a record month for May 2022 with more customers than ever using its finance platform and lending reaching an all-time high.
Customers using Propell’s small-to-medium business finance platform exceeded 2,000 for May 2022, which was up 428% on May 2021 levels and 20.1% higher than the March quarter of this year (Q3 FY2022).
Propell expects this customer trajectory to continue and says it is on track to deliver its sixth consecutive quarter of greater than 30% quarter-on-quarter growth.
Meanwhile, lending is also at an all-time high, with May 2022 delivering more than $1.2 million in new originations.
This was up 34% on April 2022 and a 17% increase on the previously largest month of March 2022.
In lending origins, Propell says it is on track for a record Q4 FY2022.
Driving Propell’s growth was the launch a new line of credit product along with improvements in platform customer financials and sentiment.
Additionally, the company noted May 2022 had seen a 20% increase in the average loan size, which it says is a “critical measure” in scaling the business.
Line of credit products
Propell’s six-month and 12-month line of credit products have had “ongoing success”.
And based on customer feedback, the company launched the Business Loans product to its platform.
This is a fixed dollar amount loan, over a fixed term and can be used for specific business purposes such as buying assets or equipment.
Business Loans leverages Propell’s existing “credit decisioning engine” and broader loan management system.
“Customers now have increased flexibility with existing line of credit facilities, or fixed term loans at competitive rates with our new Business Loan product,” the company stated.
Capital raising to boost lending facility
To facilitate increased lending capabilities, Propell is raising $2.2 million via a non-renounceable entitlement offer at $0.058 per share.
The offer closes on 20 June, with funds raised to also drive organic growth.
Propell says its multi-product platform addresses all the financial needs of Australian small business owners.