PremFina, a UK-based insurance premium finance company, is set to expand into the Irish market after it applied for a money lending licence from the Central Bank.
The company, which raised $36m (€32.6m) during its first investment round in 2017 from backers including Japan's Rakuten Inc and Draper Esprit, enables the payment of insurance premiums via instalments. It supplies insurance brokers with funding lines and software solutions.
PremFina, which has processed £300m (€356m) worth of insurance premiums since the fourth quarter of 2016, has already established an office in Dublin. It expects to be operational here by the second quarter of next year.
The company aims to start in Ireland with a small team, with plans to expand into other European countries, including Poland and Spain.
Bundeep Singh Rangar, chief executive of PremFina, said the business was looking forward to getting started in Ireland.
"We're excited to give the Irish market what it wants," he said. "The demand for our services has led to this expansion from the UK and is reinforced by the support for fintech firms in Ireland.
"We're excited to build long-term relationships within the Irish insurance industry and premium finance marketplace."
A spokeswoman for PremFina said the business had plans to "scale up rapidly over the next two to three years". She added that it had "over 25 insurers and brokers" keen to work with the company in Ireland.
According to recently filed accounts, PremFina made a loss of £930,000 over 2018 due to "significant costs" incurred while fulfilling its growth plans. The company's clients in the UK include insurance brokers Saga and Assura Protect.
Sunday Indo Business