6. Juni 2017
- Speedinvest and UNIQA as anchor investors
- FinCompare establishes a marketplace for corporate finance
- Experienced management team with Watchmaster founder Stephan Heller in the lead drives forward the digitization of Small and Medium Enterprises
FinCompare, the new marketplace for corporate financing has successfully secured their first round of seed finance. Based in Berlin, the tech company led by founder Stephan Heller has raised €2,5 Million in funding. Amongst the list of investors is SpeedInvest, the well known fintech venture capital fund which has also invested in N26 and Tradico. Also in the funding round is UNIQA, Austria’s largest insurance group. Several other business angels from the Banking and Finance industry round up the funding. The financing will be used to grow the business, improve the product offering, and expand marketing and staff.
FinCompare addresses small and medium sized enterprises (SME) requiring financing needs starting from €10.000. Through the online platform www.fincompare.de, the start-up enables access to various financing solutions. Companies can find, compare and close Germany-wide offers from renowned banks, fintechs and financial service providers – for free and in a vendor-agnostic manner.
“Smart working capital is a crucial building block on the way to digitalize small and medium-sized enterprises. FinCompare combines three steps to make corporate finance easier: find, compare and close. We are very happy to have convinced experienced venture capitalists and industry experts on our business model and the related market opportunities”, Stephan Heller states, FinCompare founder and CEO.
FinCompare serves market needs and increases transparency
As a marketplace and digital broker, FinCompare enforces more transparency in a yet obscure market and thus reduces costs. A few weeks after the launch of the platform in February 2017 FinCompare has shown strong demand for its offering: Around 400 customers with a requested financing volume of more than €200 Million base. Besides the usual corporate loans, FinCompare stands out with a selection of alternative financing solutions such as Factoring, Leasing or Finetrading.
“FinCompare’s team and business model have absolutely convinced us. German economy is backed by small and medium sized enterprises and they need innovative and smart financing possibilities. Now FinCompare enables technology-driven and vendor-agnostic financing solutions. FinCompare has the potential to become the game-changer in SME-banking, claims Andreas Nemeth, Senior Venture Capital Manager at UNIQA ventures.
Companies can choose from a pool of more than 200 finance partners
According to the German federal factoring association for SMEs, around two-thirds of companies desire more independence from their principal bank and wish for more modular financing options. On FinCompare’s platform, SMEs have access to a pool of more than 200 renowned banks (e.g. Commerzbank, UniCredit, Volksbank), alternative financial service providers (e.g. Arvato Bertelsmann, Grenke) and fintechs (e.g. bezahlt.de, Lendico, iwoca), where credit volumes of up to €5 Million are brokered through FinCompare. The various financing possibilities can be compared intuitively and the software-based scoring facilitates the understanding. FinCompare’s independent advisors are on hand with help and advice for the SMEs.
For any successful brokered credits and other financing solutions, FinCompare receives a commission from the financing partners. The service of comparing and concluding financing solutions is for SMEs for free. FinCompare takes an active part in a strong growing market: Digitally brokered company funding is predicted to account for €30 billion by 2020.
Experienced Management-Team with a clear vision
“FinCompare’s combination of technology and advisory process meets an existing demand in the market. We see great success potential in this mixture. Moreover, the founding team brings along valuable experience in scaling the business model, development of technology and corporate finance. We are happy to join the team on this journey”, Stefan Klistel states, partner at Speedinvest. Next to the anchor investors, prominent business angels and family offices from the banking, fintech and corporate finance fields are on board. Amongst them are Gerrit Seidel, Matthias Sohler (both yabeo capital), Marcus Börner (OptioPay, reBuy), Kilian Thalhammer (Izyco), André M. Bajorat (figo), Alex Graubner-Müller (Kreditech).
Watchmaster was Stephan Heller’s first company he founded, a European trading platform for new and second-hand luxury watches. Since 2015, Watchmaster has shaped the digital transformation of the watch market. Stephan Heller is planning equally the same for SME-financing: “Our vision is to become a digital finance-hub that consolidates offers from banks and fintechs and in the midterm even from insurtechs, therefore integrating further value-added services. FinCompare aims to become the leading platform for SME-financing in Europe”. The management team next to Stephan Heller consists of Nicolay Ofner (COO – Chief Operating Officer), Sarp D. Demirel (CTO – Chief Technology Officer) and Paul Weber (CCO – Chief Commercial Officer). Currently, the startup employs a team of 25 people, of which half of is IT and development.