Pluto Finance has launched its revolving credit facility (RCF) for SME housebuilders.

The RCF is available to housebuilders delivering at least 50 homes per annum across multiple sites.

Facility size can be from approximately £10 million up to around £75 million tailored to meet the individual housebuilders requirements and business plan.

The RCF will support up to 75% of the housebuilders land and work in progress with a term of up to five years.

Pluto says security will be individually structured and will include first ranking property security, debenture/floating charge, cost overrun, and the cross collateralisation of individual sites.

Pluto Finance lending director Jamie Drummond says: “We are only too aware of the challenges facing SME housebuilders in the UK in financing their businesses and their ability to deliver much needed housing.”

“We wanted to give them access to a revolving facility similar to that available to the large national housebuilders which will allow them to make much more efficient use of their balance sheet capital.”