FAKTUS raises €56M to become Europe’s first neobank for construction SMEs

FAKTUS, Europe's first neobank dedicated to construction SMEs,  today announces €56 million in combined equity and debt financing.  Lakestar and Foundamental are providing €9 million in equity, and a separate debt capacity of up to €47  million is provided by certain funds under the management of Insight Investment, alongside Fost Capital. 

FAKTUS is positioned to scale rapidly across Europe, bridging the gap between institutional finance and SMEs in the  €2.5 trillion construction market, where 90 per cent of builders remain underserved. 

Bridging the construction-finance gap 

Construction

SMEs face payment delays averaging 85 days while managing upfront costs for materials and payroll. FAKTUS addresses this with a streamlined, AI-powered platform: 

• Business Accounts – Real-time project cashflow tracking for clear visibility and accurate forecasting. 
• Invoice Financing with Integrated Validation – Immediate liquidity on receivables,  with streamlined workflows for faster approvals and collections to keep projects moving.
• Material Advances – Upfront funding to start projects without delays.
• Retention Bonds – Release project holdbacks through guarantees from an investment-grade guarantor, ensuring project completion and liquidity. 

Using AI, the platform reads invoices, parses contracts, tracks schedules, identifies risks, and compresses weeks-long underwriting into two-hour financing decisions, enabling SMEs to access liquidity faster than ever. 

Already, 470+ worksites have been financed and €100m+ of projects supported, including schools, hospitals, social housing, and landmark projects like Roland Garros and the French  Senate. 

FAKTUS' €56 million funding potential comprises both equity and asset-backed debt, giving the company the capacity to serve construction SMEs while offering investors regulated, risk-assessed exposure:

• €9 million in Equity from seed rounds led by Lakestar and Foundamental (2023–2024)  — powering platform development, team growth, and early market traction 
• Up to €47 million in debt from certain funds under the management of Insight  Investment and Fost Capital via Faktus Financement, a fully regulated securitisation vehicle dedicated to construction SME financing.

The vehicle — supervised by the AMF and managed by IQ-EQ — purchases receivables and provides loans exclusively to construction SMEs.  By establishing one of Europe's fastest-regulated Fonds Commun de Titrisation (FCT) just 18 months after issuing its first loan, 

FAKTUS acts as the vehicle's servicer, combining construction expertise with advanced credit analytics to evaluate contract terms, debtor payment patterns, and sector-specific risks. 

This ensures financing solutions are precisely tailored to the realities of each project, while giving investors high-quality, risk-assessed opportunities. 

This strategic mix of equity and debt positions FAKTUS to scale across Europe while providing SMEs with rapid, reliable, and customised financing.  FAKTUS has grown its client base 300 per cent in six months, supported by 13 regional agents and partnerships with 20+ federations and insurers, including Atradius and Coface. 

"We're connecting underserved, family-owned SMEs in construction with the institutional world," said Réda Kabbaj, Co-Founder of FAKTUS. "

By combining construction-specific and financial  expertise, we bring funding directly to the real economy."

"I  believe FAKTUS now has all the ingredients to build Europe's leading Neobank for contractors,"  said Patric Hellermann, General Partner at Foundamental:

"When we led FAKTUS' pre-seed round in 2023, we were excited by the team. Just 9 months later, when Lakestar led the seed round, we had become excited by the product.

And now 2  years in, we have the data to be excited by FAKTUS' execution and customer feedback."

"As investors in Revolut, we know how valuable neobanks can become. The construction market is unique, making up roughly 10 per cent of Europe's GDP but still underserved. FAKTUS has the team and understanding to succeed," said Enrico Mellis, Partner at Lakestar. 

The company plans to finance €500 million of worksites in the next 18 months, achieve full coverage in France, and expand to the UK, Germany, Spain, Italy, and Portugal in 2026,  ultimately serving more than 800,000 SMEs across Europe.

Lead image: FAKTUS. Photo: uncredited.