multifi Extends Flexi Credit Terms to 12 Months to Boost UK SME Cashflow Transparency

Specialist lender multifi has doubled the standard repayment term for its Flexi Credit facility to 12 months, providing UK SMEs with essential long-term visibility over cashflow. This move addresses the mounting pressure on small businesses to manage borrowing costs amidst a volatile economic climate, offering a more sustainable alternative to traditional short-term credit cycles.

What was announced

multifi has transitioned its flagship Flexi Credit solution to a 12-month standard repayment term, a significant increase from the previous six-month duration. While the shorter term remains available for specific business cases, the shift is designed to align the product with broader market lending options, allowing SMEs to better compare the total cost of credit against traditional quotes. The facility provides unsecured revolving credit ranging from £10,000 to £350,000.

Under the new structure, interest is charged only on the drawn, reducing balance, starting at a rate of 1.99% per month. Notably, the lender has eliminated common industry friction points by removing arrangement, service, and non-utilisation fees. The application process leverages Open Banking to deliver credit decisions, typically within the same day or 24 hours. Once approved, businesses can draw, repay, and reload funds without the need for reapplication.

To illustrate the cost structure, multifi noted that a £50,000 facility at a 2.99% monthly rate over the new 12-month term would result in a total repayment of £61,213. This calculation includes a 60-day interest-only starting period, leading to monthly commitments of approximately £4,852. This expansion focuses on providing "real cost" visibility to borrowers who use credit as a strategic growth tool rather than an emergency measure.

"The shift in payment terms is less about our product and more about giving the borrower transparency on the real cost of borrowing. At a time when every pound matters for SMEs, it’s important that businesses have full visibility of how much their borrowing is going to cost."

Rob Keown-Boyd, CEO of business lending platform multifi.

The companies involved

multifi is a specialist fintech lender focused on providing transparent cashflow solutions to established small and medium-sized enterprises across the United Kingdom. Founded in 2023, the company was established by the original team behind the payments business Pay4. This background in payment systems informs multifi’s approach to revolving credit, positioning the firm as a bridge between traditional banking and agile fintech services.

The lender operates primarily through the UK intermediary community, targeting ambitious businesses that often find themselves underserved by high-street banks. Since its inception, multifi has facilitated more than £40 million in lending to the UK SME sector. Its market position is defined by a rejection of the "hidden fee" model common in commercial lending; the company does not charge setup, platform, or early-repayment fees. This commitment to clarity resulted in the firm being named ‘Most Transparent SME Lender’ at the SME News UK Enterprise Awards in 2026. As a specialist in the space, multifi competes by offering speed and flexibility, utilizing modern data sharing to bypass the lengthy manual underwriting processes associated with legacy financial institutions.

What FF News has reported before

FF News has tracked multifi’s rapid scaling within the UK lending market through several key milestones. In July 2025, the publication covered how multifi Partners With GoCardless to Streamline Payments for Small Businesses, a move aimed at improving the operational efficiency of its borrowers. This followed a period of aggressive product expansion, including when multifi Expands Financial Support to Smaller Businesses in mid-2024.

Earlier that year, the lender demonstrated its appetite for larger exposures by announcing that multifi Increases Credit Limits to £250,000 to Support UK Businesses in Managing Cashflow More Effectively. The company’s international capabilities were also highlighted when multifi partners with Currencycloud to offer an expanded payment service to fuel UK SMBs’ global growth, marking its initial steps into cross-border financial support.

What this means

This shift reflects a broader industry trend where fintechs are moving beyond "quick-fix" credit toward more sustainable, mid-term capital structures. By extending terms to 12 months, multifi is directly challenging the traditional overdraft and short-term bridge loan markets. For the wider sector, this move signals that speed of decisioning is no longer a sufficient differentiator; lenders must now compete on the duration and predictability of the facility. As SMEs face higher operational costs, the pressure is mounting on alternative lenders to prove they are partners in growth rather than high-cost, emergency stopgaps. The question remains whether other boutique lenders can maintain similar transparency without the cushion of arrangement fees.