Posted on 09/09/2016 at 08:36
Fundflow and Wirecard Bank launch invoice discounting platform for SME
Wirecard Bank is the license partner of Fundflow
Today, Wirecard and the FinTech startup Fundflow launch an invoice discounting platform in Germany. Small and medium size businesses as well as Freelancers can sell their outstanding invoices on www.fundflow.de. Fundflow then enables the refinancing with institutional investors. Wirecard Bank provide their German banking license and handle the payment process.
„For a small company, long payment terms and high accounts receivables can bring them in difficulty. In addition, chasing payments is a pain for many entrepreneurs. Instead, payments should be prompt, at the click of a button. We feel honoured to collaborate on this mission with Wirecard Bank which has many years of experience and makes life easier for small businesses,” said Joachim Kaune, Managing Director at Fundflow.
Businesses can bridge liquidity gaps with Fundflow. Unpaid customer invoices with payment terms under sixty days can be sold on the platform. The seller gets the cash on the next day releasing otherwise locked up capital. Optionally, Fundflow also offers full service invoice management for the customer. The service costs a small discount on the payout without minimum turnover or long term contracts.
„Transaction costs are often too high for established businesses to offer invoice discounting for very small businesses. Only recently, some US players have proven that both transaction and risk cost can be reduced dramatically employing technology. This creates an interesting market and we are positive it may be equally deep in Europe,” said Alexander von Knoop, Executive Board Member of Wirecard Bank. “We are delighted to help innovative business like Fundflow with our experience and our banking license in order to facilitate their go-to-market.”Download Press Release