It was a slow week for B2B FinTech funding rounds, but investors nevertheless provided an impressive sum to industry startups. In total, more than $107 million was raised, with investors targeting the small business (SMB) back office, lending and B2B payments. Interestingly, U.S. B2B FinTech firms were noticeably absent from this week's roundup, with funding targets instead based in India, Brazil, Spain and the U.K.
India's FinTech boom hasn't ignored the B2B payments realm, and industry player EnKash recently secured new funding to prove it. Reports in VCCircle this week said that EnKash raised $3 million from Mayfield India and Axilor Ventures, with the Series A funding going toward EnKash's efforts to upgrade the underlying technology of its B2B payments platform. The firm operates a portal through which buyers, suppliers and financial institutions can connect to facilitate financial transactions, including eInvoicing, supplier payments and financing. EnKash said it also plans to bolster its leadership team with the new investment.
Spain-based Holded provides a Software-as-a-Service (SaaS) solution designed to help SMBs manage their back offices. The company raised $6.7 million in Series A funding, reports this week said, with Lakestar leading the round. Existing backers, Nauta Capital and Seedrocket 4Founders Capital, also participated. Holded plans to use the investment to focus on international expansion and boost investment in its core software functionality. The company's SaaS offering deploys artificial intelligence (AI), and provides automated accounting, invoicing, human resources, customer relationship management (CRM) and other back-office processes, while also enabling integration into existing platforms like PayPal and Amazon.
Another B2B SaaS startup, Omie, announced $20 million in Series B funding, according to Crunchbase News this week. The Brazilian-based firm also provided an SMB management solution, with its SaaS offering deploying AI to manage invoicing, inventory, accounts receivables, accounts payable, CRM, point-of-sale services, working capital and more. The startup plans to use the funding to focus on its direct sales and franchising business models, and to further develop its core product as it boosts its presence in Brazil. The company is also planning to add to its staff, and invest in its financial services innovations, reports said.
The $77.4 million raised by U.K. challenger bank Masthaven is yet another sign of support for a competitive financial services market. Investors at Värde Partners provided the equity investment for Masthaven, which plans to use the funding to boost its SMB and consumer lending operations, Banking Tech said this week, adding that Masthaven reportedly reached the investment agreement last September. In addition to lending, the company plans to use the funds to expand its savings offerings.