Capcito, a Stockholm-based fintech upstart that provides its business clients with fast cash whenever they're in the market for temporary working capital, has secured €7 million in funding from Schibsted Growth and pan-European VC Ventech.
The new investors are joining Capcito owners SEB Venture Capital and Collector Ventures to support the company's next stage of growth. The startup was founded in 2015 by serial entrepreneur and investor Michael Hansen, alongside Mattias Axlind, Henrik Dyberg and Niklas Möller.
In the past 12 months, Capcito claims to have seen a 500% increase in active clients, with roughly €80 million having been paid out through its automated financing platform to date (in the form of either factoring, invoice discounting or business loans).
Particularly small businesses are the target customers, as they often require working capital while they grow and develop their business. Capcito argues that currently available alternative financing mechanisms can be cumbersome, costly and often opaque and inflexible.
Capcito’s credit assessment on the other hand is available online and automated, which means that an available credit limit is calculated instantly based on real-time data from the clients' currently used invoice- or accounting software.
"We believe Capcito is positioned to change the financing marketplace with their concept of automated financing – and that is a journey Ventech wants to be a part of. I look forward to helping Capcito facilitate its international expansion and continue its exponential growth," said Tero Mennander, GP at Ventech Europe.
In connection with the investment, Mennander and Dan Ouchterlony from Schibsted are joining Capcito’s board.