Finbee Verslui, an alternative lender based in Lithuania, has successfully closed a funding round, securing a €35m investment.
This significant capital infusion marks a pivotal expansion phase for the company, aimed at enhancing its loan services to small and medium-sized enterprises (SMEs) across Lithuania.
The company, which specialises in providing financial solutions to SMEs, will use the new funds to finance over 1,500 businesses. This will allow for quicker loan processing and more favourable terms than previously possible. Since its inception, Finbee Verslui has supported more than 3,000 customers, with 2,000 currently active, and has seen a consistent annual growth of 60% in loan originations over the last five years.
The fresh capital will address a growing funding gap that has emerged due to increased customer demand. Previously, the company managed liquidity through its own funds, but the partnership with Pollen Street Capital will enable a significant scale-up in operations. Finbee Verslui’s CEO, Tomas Mačiulaitis, highlighted that the company financed more than €27m in loans last year alone, and with the new investment, they are set to maintain this growth momentum, projecting over €40m in new loan originations this year.
“First of all, we will be able to pay out business loans much faster. Until now, it used to take over a week to crowdfund larger loans, while now it will take just a few hours from signing the contract to the money being in the account,” Tomas Mačiulaitis said. He further explained that the investment will allow them to meet the actual borrowing needs of larger businesses, which were previously capped due to platform liquidity limitations.
Ethan Saggu, Investment Director at Pollen Street Capital, praised the initiative, noting the increasing need for SME financing across Europe and the insufficient availability of bank capital to meet this demand. “Finbee Verslui have developed an attractive product for Lithuanian SMEs looking to grow and we are excited to support them and their customers on this journey. We have been impressed by the management team and their commitment to prudent lending practices, and we look forward to promoting financial inclusion within the country,” Saggu added.
T. Mačiulaitis also pointed out the broader economic impact of their services, emphasizing that small companies with up to 10 employees constitute about 84% of all legal entities in Lithuania.
“Because of this partnership, businesses will get the financing they need and we will help them increase their volumes, create jobs, and pay more taxes,” he noted, highlighting the strategic importance of the investment during a period of fluctuating foreign investment in the region.
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