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Finverity raises USD 2 mln Pre-Series A to accelerate growth

Thursday 3 February 2022 11:27 CET | News

UK-based Finverity, a mid-market supply chain finance platform focused on emerging markets, has completed a USD 2 million Pre-Series A equity funding round. 

The proceeds will be deployed in expanding the sales, operations, and technology teams to support Finverity’s growth.

Finverity has attracted investment in this round from two main types of investors: specialist fintech and emerging markets investors. Investors in the round include MENA-based B&Y Venture Partners (a MENA venture capital fund with regional backers including Mubadala Ventures), and Canada-based Loyal VC (an existing investor in Finverity operating a global startup index fund with over 200 investments across 50+ countries), an emerging market family office, and several strategic angel investors. 

According to the company, Finverity has been growing thanks to its fully digital operations, the increasing need from corporates for working capital solutions to aid post-pandemic recovery and an influx of investors into this alternative asset class searching for yield. Following several recent senior hires, Finverity is further expanding its sales and business development team to service a growing customer pipeline, its operations team to support increasing transaction volumes, and its technology team to accelerate product development. In 2022 Finverity is planning to open 3 new offices across MENA and Eastern Europe. 

Post-Covid, the global trade finance gap has grown to USD 1.7 trillion. The trade finance gap reflects the shortfall between the amount of trade finance currently being provided and global trade financing needs. Finverity is addressing this gap by focusing on the supply chain finance (SCF) needs of emerging market companies, which reportedly make up the largest and most under-served part of the gap, and channelling capital flows to this geographical segment. The appeal of SCF, which lets suppliers get paid quickly while improving buyers' cashflow, means that total industry revenues for supply chain finance are forecast to post a compound annual growth rate of 3.2% to reach USD 11 billion in 2030, according to Boston Consulting Group.


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Keywords: investment, trade finance, supply chain finance
Categories: Banking & Fintech
Companies:
Countries: World
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Banking & Fintech






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