Reinventing SME Finance: How Bourn Secured £3.5M to Transform Working Capital for Small Businesses

Introduction — A Modern Answer to an Old Problem

Small and medium-sized enterprises (SMEs) are the backbone of the UK economy, yet many continue to struggle with one persistent challenge: access to reliable, flexible working capital. In December 2025, London-based fintech Bourn marked a major milestone by raising £3.5 million in funding — a validation of its bold mission to revolutionize SME finance with technology-driven solutions. This latest investment round signals both strong investor confidence and a growing trend in embedded finance that aims to bring capital closer to where SMEs need it most.

What Is Bourn and Why It Matters

Founded in 2024 by fintech entrepreneurs Nick Tracey, Roger Vincent, and Paul Gambrell, Bourn focuses on giving SMEs a modern alternative to traditional business overdrafts — which are often slow, manual, and poorly integrated with today’s digital finance systems.

At the core of Bourn’s offering is the Flexible Trade Account (FTA) — a working capital solution that combines banking account features with real-time access to secured funding powered by AI. Instead of navigating traditional overdraft applications, businesses can now access capital directly within the financial tools they already use, such as bank accounts, accounting platforms, and ERP systems.

The £3.5M Funding Round — Who’s Backing Bourn

In December 2025, Bourn announced a £3.5 million funding round that includes a strategic minority investment from NatWest Group alongside participation from several prominent backers:

• NatWest Group (strategic minority stake)

• McPike Global Family Office

• Haatch

• Love Ventures

• Portfolio Ventures

• Aperture

This fresh capital will be used to expand Bourn’s product functionality, grow its team, and forge new partnerships across financial platforms and banks.

NatWest’s involvement is especially notable: by taking a minority stake in Bourn, the bank not only provides capital but also gains insight into embedded working capital solutions that can help its own business customers access liquidity more dynamically.

How the Flexible Trade Account Works

The Flexible Trade Account is designed to be embedded directly into the workflows of modern SMEs, eliminating friction points that small businesses often encounter when accessing funds:

• Payments + Account Services – Combines current account functionality with capital access.

• Instant Funding Access – SMEs can draw on secured capital in real time.

• AI-Driven Risk Engine – Dynamically adjusts funding limits based on real-time business data.

• Receivable-Backed Funding – Funding decisions are increasingly based on receivables and business activity rather than outdated credit models

This embedded model simplifies how SMEs manage their cash flow, pay suppliers, and fund growth — all within their existing financial ecosystem.

Founders & Leadership: Vision Meets Execution

Bourn’s founding team brings together deep experience in fintech, banking, and technology. Co-founder and CEO Nick Tracey has emphasized that 2025 served as a year of proof for the business: demonstrating that traditional working capital tools were no longer sufficient for modern business needs. The support from NatWest and other investors underscores that belief — that capital should flow more dynamically and be tightly integrated with business operations.

This leadership vision positions Bourn not just as a fintech product company but as an infrastructure partner for banks and platforms aiming to embed flexible SME finance directly into core financial workflows.

Why This Funding Round Is a Big Deal

1. Investor Confidence in SME Fintech

Bourn’s latest round demonstrates that investors — from strategic banks like NatWest to venture firms — are still willing to back practical fintech solutions that solve real economic bottlenecks.

2. Embedded Finance Is Taking Off

The embedded working capital trend — where financial services are built inside existing business tools — is becoming mainstream, and Bourn is at the forefront of this movement.

3. SMEs Stand to Gain

By improving access to flexible capital, Bourn’s solution can help small businesses invest, hire, and grow — activities that are key to broader economic productivity and resilience.

Conclusion — Bridging the SME Funding Gap

Bourn’s £3.5 million funding round marks a key inflection point for SME finance in the UK. With support from established banks and innovative investors, the company is poised to scale its Flexible Trade Account solution and set a new standard for how SMEs access and manage working capital.

As embedded finance continues to evolve, startups like Bourn are showing how finance can be smarter, faster, and more deeply connected to the real needs of businesses. That’s the future of SME funding — and it’s happening now.