European FinTech deals this week include CapitalFlow, Muse Finance and Capital on Tap
We feature Q&As with Gabriel Levie of Wequity and Hans de Back, Finch Capital
If you are an early stage startup in Europe building the next big thing in FinTech, reach out to us: Frank Schwab or Samarth Shekhar.
Check out the B2B FinTech Radar, our microsite focused on SaaS / Enterprise FinTech founders with global ambitions
7 Questions with Gabriel Levie of Wequity
1.Please tell us a bit about yourself, both at work and leisure.
I was born and raised in Belgium and was lucky to have a Dutch-speaking mother and French-speaking father, which means I speak both languages fluently. Before starting Wequity I completed my undergraduate studies in Economics and Philosophy in the UK. Since 2019 I have been back in Belgium.
With my cofounder Franck we launched Wequity in February 2021, and we have been working full time with a team of 5 people. On the side I run, climb, and play the piano.
Q&A with Hans de Back, Finch Capital
Hans de Back: Sure. Okay, so my name is Hans de Back. I’m a General Partner at Finch Capital. I am Managing Partner at Finch Capital since 2015. I’m based in Southeast Asia. So we as a FinTech VC we invest in two regions, Europe and Southeast Asia. So I’m responsible for our Southeast Asian activities. Radboud is looking after Europe.
My background is that I’ve been an entrepreneur myself from 2000 till 2011, but in the mobile marketing and advertising space. So I’ve built companies together with two partners all the way from a startup to an IPO to a listing. So I think it’s an entrepreneurial experience in the companies and I have leveraged that experience in the companies we invest in. Then from 2011 till 2014 I’ve been an angel investor. I moved to Singapore in 2011 and started investing as an angel in in technology companies with a very broad focus, ecommerce, social media, but also FinTech and that’s where I started to work with Radboud. We did some deals sharing and co-investments, and then decided to set up Finch Capital. So that’s a bit about my work.
Bunq’s CapitalFlow Picks Up $10M for Green Financing
Ireland-based Capitalflow Group, owned by neobank Bunq, has secured 10 million euros (about $10 million) from the low-cost Energy Efficiency Loan Scheme (EELS) of the Strategic Banking Corporation of Ireland (SBCI).
CapitalFlow specializes in offering loans to small- to medium-sized businesses (SMBs). The funding will help Irish SMBs invest in energy efficiency financing projects so they can transition to sustainable energy, Silicon Canals reported Friday (Aug. 26).
“We’re delighted to be partnering with the SBCI once again in supporting the Energy Efficiency Loans Scheme and the move toward green finance,” said Capitalflow CEO Ronan Horgan in the report. “By investing now, helped by the Energy Efficiency Loan Scheme, businesses can help the environment and reduce their costs in the medium to long term.”
The money is part of 150 million euros (about $149 million), the SBCI EELS is offering as a catalyst for energy efficiency investments, the report stated.
“Capitalflow’s participation will assist SMBs and farmers in accessing low-cost, flexible finance for investment in energy-efficient equipment as they respond to the ongoing increase in energy costs,” said SBCI CEO June Butler in the report. “This scheme is our first dedicated climate action-related product. It has been specifically designed to help Irish businesses to improve their sustainability, cut their energy bills, and reduce their carbon emissions by investing in energy-saving measures.”
In Ireland, the government has set the target of becoming a net zero emissions economy by 2050, the report stated.
London-based Muse nabs $20 million to support small businesses
The investment will accelerate the startup’s expansion and support customers in the U.K and its launch in the U.S.
At a time when lending to small businesses in the U.K. has hit an all-time low, London-based SME financial services platform Muse Finance has raised $20 million in a debt facility round.
The fresh capital infusion brings the total amount raised by the company to $96 million. The debt facility comes ahead of its upcoming Series A round, which is planned for early 2023.
The investment will accelerate the startup’s expansion and support customers in the U.K and its launch in the U.S. The platform is being used by 5,000 customers in the U.K to supply finance for over 36,000 invoices.
Founded in 2018, the UK-based fintech aims to optimise the cash flow of SMEs to enable them to gain access to new funds. It offers advanced invoice collections, wherein users can gain instant access to funds owed to them on an invoice. The amount on the invoice is then collected by Muse on the due date.
Capital on Tap has secured a £200 million funding facility with JP Morgan and Triple Point to support UK small businesses.
The funding will help small businesses access credit at a time when the UK is anticipating a recession and facing historic inflation rates.
Launched in 2012, London FinTech Capital on Tap provides an all-in-one small business credit card and spend management platform tailored to small businesses. Recently recognised by The Sunday Times and the Financial Times as one of Britain and Europe’s fastest growing businesses respectively, this funding facility will bolster their dramatic growth in the UK. Over 200,000 small business customers have spent £4 billion on their Capital on Tap business credit cards.
This new funding facility comes just four months after securing a $200m facility to power growth in the US. Both facilities are vital resources with ambitious expansion plans in place, following Capital on Tap’s impressive 61.98% annual sales growth over the last three years.
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