Global booking platform Fresha has reported strong performance from Fresha Capital, its business financing arm, with more than $20 million in loans issued to beauty and wellness businesses to date.
Since launching earlier this year in partnership with fintech Adyen, the programme has seen over 80% of borrowers returning for additional financing with renewal amounts increasing by around 50% on average.
Fresha Capital aims to make more than $200 million in financing available to eligible partners, helping businesses access the capital they need to invest, expand and manage their operations.
The impact is already being felt among businesses using Fresha, such as London-based barbershop SliderCuts, founded by Fresha ambassador Mark Maciver.
Maciver, known for working with high-profile clients including Stormzy, LeBron James and Anthony Joshua, faced financial pressure after renovation costs at his Hoxton barbershop escalated beyond the original budget.
With mounting expenses threatening the future of the business, he received a financing offer through Fresha Capital, providing the funding needed to keep SliderCuts operating.
“When that loan came through, it was like a miracle because I didn’t even ask them. I was also calling them to say, ‘Yo, is this real?'” said Maciver, speaking to The Times about receiving the offer.
The company is developing financing options of up to $500,000, with longer repayment terms and greater flexibility to meet larger capital requirements. More than 10,000 businesses on the platform are currently eligible for financing through Fresha Capital, which uses AI to analyze business performance data, allowing for tailored financing options.
“Fresha Capital was built to make business financing more accessible, using payment and performance data to provide funding that reflects how beauty and wellness businesses actually operate,” said Dane Carmody, Head of Product at Fresha.
“The programme’s strong adoption demonstrates the demand for financing that is built directly into the tools businesses already use. As we expand into new markets and develop larger financing options for enterprise partners, we’re creating even more opportunities for businesses to access capital when they need it.”