Finance company Capitalflow has announced plans to offer €300m in lending to small and medium-sized businesses in Ireland. 

The finance provider has been operating here since April and has already provided €50m to 230 SMEs.

The new €300m fund will be offered through a number of products including invoice finance and asset-based lending.

The company said it was expecting particular demand from areas like construction, manufacturing and transport.

Capitalflow was set up by former Close Brothers Managing Director, Harry Parkinson and former Bibby Financial Services Managing Director, Ronan Horgan. It was founded last November and began operating in April of this year. 

The company is headquartered in Dublin with offices in Belfast and it is backed by London-based private equity firm Pollen Street Capital.

According to the CSO, small and medium enterprises account for 99.7% of all active business enterprises in the Republic. 

"In the past, Irish businesses were very dependent on traditional banks for finance but this has changed as new and more flexible options are introduced on the market," commented Capitalflow's CEO Harry Parkinson. 

"With a growing economy and a pro-business environment, the need to provide support and financial options to the SME sector has never been more relevant," he added.