Sprinque secures EUR 20 million in funding

Thursday 8 June 2023 08:35 CET | News

Netherlands-based payment service provider Sprinque has secured EUR 20 million that will be channelled into supporting European B2B ecommerce merchants.


The debt facility is expected to enable Sprinque to finance around EUR 200 million in transactions per year. The B2B ecommerce merchants that the funding will be aiding are those who sell on a Pay-by-Invoice basis to businesses. 

To provide merchant financing services, the fintech developed a Special Purpose Vehicle structure with Collections Foundations. This structure is the foundational element for a pan-European financing network that aims to cater to B2B merchants in Europe.

The funding was extended by Avellinia Capital, a private credit investment manager provider. The company is dedicated to supplying financing solutions to speciality lenders and finance originators. 

Netherlands-based payment service provider Sprinque has secured EUR 20 million that will be channelled into supporting European B2B ecommerce merchants.


Sprinque’s solution in context

The funding was secured during a period of financial insecurity in Europe, as the economy has grappled with subdued growth in various markets. Due to the effect this has had on retail and ecommerce, merchants have had to probe alternative avenues that would ensure financial stability. Given the context, the option to access Pay-by-Invoice or Pay-in-Installment is essential for SMEs. The debt facility supplies added liquidity to established and prospective B2B merchants.

Sprinque’s Pay-by-Invoice services address a difficulty in how businesses access such offerings. To secure timely availability of these services for companies, Sprinque has devised an online process for handling applications. Moreover, the fintech shoulders all default risks for the transactions it approves. 

At the time of writing, Sprinque has an acceptance rate of 90%. The fintech’s Pay-by-Invoice system caters to the needs of merchants as it is entirely managed by the fintech. Among the steps this includes are the onboarding and verification of the buyer’s business, settling and managing their credit limit, finalising the transaction with the merchant using their preferred currency and collecting the invoice payment from the buyer. 

Merchants have the option to share or pass on Pay-by-Invoice-related fees to their buyers for long-term net payment terms. Additionally, merchants can improve their working capital efficiency and any related costs by deciding on an invoice level when they would prefer to be paid. 

This is not the first time in 2023 that Sprinque secured funding. In January, the fintech announced it raised EUR 6 million in a seed round, funding that it planned to use to expand its Pay-by-Invoice offering in Europe as, at the time, it mainly focused on Dutch, Spanish, and German retailers.

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Keywords: funding, investment, B2B payments, SMEs, ecommerce
Categories: Payments & Commerce
Companies: Sprinque
Countries: Europe
This article is part of category

Payments & Commerce


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