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YouLend and Dojo have provided more than GBP £2 billion in funding to UK small and medium-sized businesses through their partnership over the past six years.
The funding has gone to more than 30,000 Dojo merchants across hospitality, retail and eCommerce. A Dojo customer is approved for funding every 20 minutes, and more than 1,000 merchants have renewed their funding ten times or more.
The milestone comes as smaller businesses continue to face pressure on cash flow and borrowing. The UK small business funding gap is estimated at between GBP £1.6 billion and GBP £4.1 billion a year, according to figures cited by the companies.
YouLend provides finance within Dojo's payments platform, rather than sending merchants to a separate lender. Businesses that use the service can apply through the platform, receive funds in as little as 24 hours, and repay through a fixed share of future sales.
That structure means repayments rise and fall with revenue, which can be particularly relevant for seasonal businesses or those with uneven trading through the year. The model also uses transaction data from the payments platform to assess merchants and offer funding through a channel they already use for day-to-day sales.
Funding volumes doubled from GBP £1 billion to GBP £2 billion in less than 15 months. The companies said repeat borrowing points to continued demand for alternatives to traditional bank lending.
Francisco Rubistein, Vice President of Growth at YouLend, linked that trend to the response from merchants already using the service.
"Our long-standing partnership with Dojo is a true testament to how embedded finance can deliver real value for a payments platform and its merchants," said Francisco Rubistein, Vice President of Growth at YouLend. "Merchants who access funding through Dojo renew 83% of the time - demonstrating genuine demand for this type of financing. We're also seeing that business funding can reduce merchant churn by up to 48%, because when businesses access capital through a platform they already trust, they're more likely to stay, spend, and grow."
Merchant demand
Dojo and YouLend said businesses have used the partnership to fund stock purchases, shop improvements, hiring and support during quieter periods. The repayment model is designed to avoid fixed monthly instalments, which can be harder to manage when sales fluctuate.
One customer cited by the companies was Shappen Stores, a butcher and village store in Burley. The business, which has operated for 118 years, has used the funding product 21 times since 2021.
Nigel Blow, Owner of Shappen Stores, said the finance had helped the business expand and cope with weaker trading after severe weather affected visitor numbers.
"The funding from Dojo has been invaluable to us," said Nigel Blow, Owner of Shappen Stores. "We've consistently used it to expand our business, get a decision very quickly, and the personal touch is a massive thing that you simply cannot get with a traditional lender. Earlier this year, my store was impacted by severe weather, which significantly reduced tourist and Airbnb footfall. The funding from Dojo helped us bridge that quieter trading period and continue operating with confidence."
The companies said Shappen Stores grew annual revenue from around GBP £300,000 to GBP £1.4 million after gaining access to finance through the platform.
Another customer, Suter's Delicatessen in Kent, has taken business funding eight times since becoming a Dojo customer in 2021. The business began as a butcher's in 1972 and later expanded into other food lines.
"My dad opened this as a butcher's in 1972. Since then, we've grown and diversified into cakes, sandwiches and pastries. Funding from YouLend is unbelievably easy, just a small daily percentage rather than a fixed payment each month. With their support, we've bought new equipment and refurbished the shop. My dad would be proud to see the business now," said Trevor Suter, Owner of Suter's Delicatessen.
Wider shift
The partnership reflects a broader shift in small business finance towards products offered through payments and software platforms. As banks tighten lending conditions and operating costs rise, non-bank providers have sought to win more small business customers with faster decisions and repayment structures linked to sales.
More than 30,000 Dojo customers have used the funding service through the partnership. Dojo, which serves more than 150,000 businesses, said integrating finance into its platform makes access simpler for merchants already using its payment systems.
"We're incredibly proud to have supported more than 30,000 of our customers through our continued partnership with YouLend. For many SMEs, access to fast and flexible capital can make all the difference when managing cash flow, investing in growth, or navigating difficult traditional conditions. By embedding funding directly into the Dojo platform, we're making it easier for businesses to access the support they need, so they can focus on running and growing their business," said Michael Winwood, General Manager at Dojo.