Barclays Inject £500,000 to Help UK Broadband ISP TenTel Grow

Edinburgh-based ISP TenTel, which also promotes its services to the private rented property sector, has secured an investment (loan) of £500K from the Barclays Innovation Finance fund to help meet rising demand for their broadband and phone services by supporting the addition of new staff and IT services.

The young ISP, which was only established in 2013 with the goal of attracting 20,000 customers in its first year of trading and then 100,000 within five years, has been slowly making a name for itself by selling shorter 6 month or 1 month contract based broadband and phone bundles across the United Kingdom.

On top of that they also promote “no cancellation fees” and provide subscribers with a free wireless router, which incidentally doesn’t attract the usual £5-£8 one-off deliver charge of other providers (delivery is free). Suffice to say that this combination appears to be working for TenTel, although we’re unsure of how many customers they’ve actually managed to attract.

Never the less TenTel hope to continue their claimed growth and in keeping with that they recently sought a loan from Barclays new £500 million fund, which was setup to help support small and medium sized businesses in Scotland.

Daniel Halliday, Tentel’s Finance Director, said:

“With our business experiencing exponential growth, we needed support from a progressive funding partner like Barclays who could meet our current needs and also see the future potential of the company.

It’s encouraging to work with an engaging, experienced team that continuously offer not just banking services but strategic support. The deal will give us the working capital we need to invest in our staff and IT services to meet growing demand in the marketplace.”

Apparently the loan is being backed by a guarantee from the European Investment Fund (EIF), which itself is supported by InnovFin and the European Commission’s Horizon 2020 programme. The onus is now on TenTel to deliver the promised growth and ideally without compromising service quality.