The Romanian fintech startup Instant Factoring attracted funding of €6.3 million which raises the total volume of available capital of Instant Factoring (both equity and debt) to €12 million for the entities in Romania and Serbia. The new investment will be used for the company’s development in both markets for next year.
“The new round of financing will help us grow in both markets and, at the same time, invest in technology and software development to accelerate the digital financing processes. Furthermore, it will allow us to develop new financial products and expand our operational capabilities”, said Cristian Ionescu, the CEO of Instant Factoring.
Instant Factoring is the first fintech online micro-factoring company in Romania dedicated to small companies and micro-enterprises, and a member of the European Association of Fintech Innovate Finance companies based in London. Instant Factoring is an IFN registered with the National Bank of Romania. The company aims to support the development of small businesses through quick and easy financing solutions with the help of technology.
The fintech offers flexible digital financing solutions for small businesses that need working capital for monthly turnovers or one-off developments, turning invoices in the payment term from 7 to 90 days into liquidity. The financing decision processes within 2 hours. Within a maximum of 24 hours, the client receives the money in the account. The entire process is fully-online, in a transparent and digitized manner.
“The pandemic increased the need for liquidity of small and medium companies in Romania, and online factoring was a solution for them to ensure the cash flow necessary to continue the activity in such a difficult period”, added Cristian Ionescu.
Launched in 2018, the company received €750.000 and expanded its operations in Serbia just two years later. In 2021, Instant Factoring won the Best Digital Factoring award for SMEs in Central and Eastern Europe, given by SME Banking Club Europe.