The Funding Outlook

Private Credit: Fueling Growth in 2025 and Beyond

Written by Reynold Paul | Jul 28, 2025 6:59:49 PM

As traditional banks tighten their lending criteria and venture capital becomes more selective, private credit has stepped in as a critical source of financing for businesses pursuing growth, acquisitions, or liquidity. In Q1 2025 alone, global private credit funds raised over $74 billion – a strong indicator of sustained institutional appetite.

Private credit is no longer a fallback option; it’s a strategic enabler of growth. With lenders showing greater appetite for bespoke debt solutions, businesses are turning to private credit to unlock expansion without compromising ownership or operational control. 

Debt Funding Outlook: Key Growth Markets to Watch 

Private credit is no longer niche; it’s now a central pillar of the global capital markets. As of early 2024, assets under management in private credit reached $1.5 trillion, with forecasts projecting a rise to $2.6 trillion by 2029. 

This growth is being fuelled by increasing demand for flexible capital, alongside investors seeking yield and downside protection. Regional variations in structure, speed, and sectoral focus present a broad landscape of opportunities for both borrowers and lenders. 

UK & European Union 

The UK and EU markets continue to experience strong private credit activity, driven by companies seeking to scale up without diluting their equity. Lender interest remains high, particularly in sectors such as technology, industrials, and services. 

Regulatory stability and established financial ecosystems in these regions continue to attract cross-border interest. As businesses seek capital that can adapt to complex growth plans, private debt is stepping in with solutions beyond what traditional financing can offer. 

Asia-Pacific 

Singapore has cemented its position as a private capital hub, thanks to its investor-friendly regulatory framework and robust repayment track record. The region is fast emerging as a launchpad for cross-border deals and sponsor-backed growth. 

As Asia-Pacific economies mature, demand for private debt is rising across growth-stage and mid-market enterprises. With expanding lender bases and improved underwriting standards, the region offers compelling opportunities for both local and international players. 

Debt That Fuels Growth, Not Dilution 

Today’s businesses are using debt strategically not just to bridge gaps, but to create real, lasting impact: 

  • Expansion into new markets, products, or infrastructure 
  • M&A to accelerate growth through acquisitions and integrations 
  • MBOs/MBIs to back ambitious leadership transitions 

Debt, when structured right, is more than capital. It’s a catalyst for transformation, enabling businesses to move quickly, remain agile, and retain ownership while scaling sustainably. 

Bridge Finance: The Missing Piece Between Rounds 

If your business is facing a funding timing gap whether you’re positioning for an equity raise, sale, refinancing, or simply navigating working-capital challenges; bridge financing could be the strategic solution you need. With Fuse Capital’s tailored, rapid bridge capital, you can: 

  • Maintain momentum during transitional phases 
  • Preserve equity and control 
  • Access bespoke facilities aligned with your cash flow 

Our approach includes: 

  • Curating the right lending partners from a global network 
  • Crafting compelling financial narratives to support your case 
  • Negotiating terms that minimise dilution and maximise flexibility 

Bridge finance isn't just a temporary fix. It’s a tool that allows you to execute critical business moves while keeping long-term plans on track. 

Watch Now: Private Debt Trends & Strategic Funding for 2025 Mid-Year Market Pulse — On Demand from Fuse Capital 

We recently hosted a fast-paced, insight-packed 45-minute session with our senior experts, covering:

  • The hottest sectors for private debt in 2025
  • What lenders are really looking for
  • When debt is smarter than equity
  • How to restructure your capital stack in time 

Speakers: 
Tom Anderson, Partner – expert in complex credit structuring 
Kayode Sulola, VP – analyst with recent insights from Lloyds 

Whether you're a founder, CFO, finance lead, or investor in the UK or EU growth ecosystem, this session offers practical takeaways to help you stay ahead. Catch up now and strengthen your funding strategy with insights from the frontlines. 

Why Partnering with a Private Credit Advisor Matters 

In a crowded market, the right advice makes all the difference. Working with an experienced advisor like Fuse Capital early in your fundraising process can offer: 

  • Clear guidance on structuring debt vs equity 
  • Faster access to tailored term sheets through targeted outreach 
  • Stronger negotiating leverage via competitive processes 
  • Protection from unfavourable terms or complex structuring pitfalls 

With over a decade of experience and a deep lender ecosystem, Fuse Capital helps clients unlock capital confidently, from growth mandates to refinancing. 

Private credit advisory isn’t just about sourcing money; it’s about ensuring you make the right move, at the right time, with the right partner. 

Q3 2025 Outlook: What’s Next in Private Credit? 

Looking ahead, private credit will continue to evolve with key trends shaping the market: 

  • Growing interest in structured and asset-backed facilities 
  • Stronger capital flows into Singapore, the UK, India, and Western Europe 
  • Longer diligence cycles for early-stage or unprofitable businesses 
  • Sharper focus on cash flow strength and business resilience 

Private credit is no longer just an option; it’s a competitive advantage. Founders and CFOs who embrace it early will be better positioned to scale, acquire, and stay ahead. 

As investor expectations grow and market cycles shift, the businesses that act with foresight - not just capital - will define the next wave of success.