B2B payments, FinTech financing responsible for banking services to SMEs

This week’s B2B FinTech venture capital roundup is dominated by smaller rounds of funding totaling less than $ 100 million in collective fundraising. Although the week has been relatively calm, investors have shown interest in FinTechs focused on improving the B2B payment capabilities and banking services of small and medium-sized enterprises (SMEs).

Numida

Based in Uganda, Numida offers a range of digital banking and financing services for
SMEs across East Africa. The company announced a $ 2.3 million seed round led by MFS Africa, with the DRK Foundation, Equilibria Capital and Segal Family Foundation, as well as angel investors, also participating. The company focuses on connecting SMEs to capital by improving the ability to access corporate financial data. He developed a proprietary credit score to connect SMEs to unsecured working instant loans. Reports did not reveal what Numida plans to do with the funding

Salary

Open banking has enabled customers to retain ownership of their banking data and share it with third parties. Salary, an infrastructure software startup, is using this model in the payroll space with technology that also unlocks payroll data for third parties. The company announced a $ 5 million funding round. Google’s artificial intelligence (AI) venture capital fund Gradient Ventures led the funding, while 8VC, Pear Ventures, Bloomberg Beta, CoFound Partners and executives from SoFi, Public, Zillow and Affirm have also participated. Salary did not specify what he plans to do with the new funding.

OpenEnvoy

Target supplier and invoice fraud, OpenEnvoy offers a suite of robotic process automation (RPA) tools to automate invoice auditing. Investors impressed by technology oversubscribed $ 6.5 million seed round, with funding led by Riot Ventures. RRE, Gokul Rajaram, Naval Ravikant, Firebolt, Coelius Capital, Hack VC, Uncorrelated and TNT Ventures also participated. The new funding will fuel the company’s growth trajectory, with a focus on freight, media and other industries operating with a high volume of vendors, B2B invoices and contracts.

M1xchange

Based in India, M1xchange announced a $ 10 million funding round led by Amazon, while BEENEXT and Mayfield also participated. M1xchange holds one of three TReDS (Trade Receivables Discounting System) licenses issued by the Indian RBI, which enables the company to facilitate debt financing for suppliers on the government exchange. The company said it plans to use the latest funding to expand into new markets in India.

hatch

Based in the United States hatch announced its official market debut with an SME control product alongside a $ 20 million fundraiser by Kleiner Perkins, Foundation Capital et al. The neobank connects SMEs to a current account and debit card product and offers financing products, with banking services provided by LendingClub Bank.

Orum

FinTech based in the United States Orum leverages technology that can speed up ACH bank transfers from five days to a day, while increasing the amount of data that can be transferred with cash. Investors placed $ 21 million in Series A funding with the company, led by Bain Capital. Inspired Capital, Homebrew, Acrew, Primary, Clocktower, Box Group, Amex Ventures and SVB Capital also participated. The company, which also operates a solution that optimizes the flow of funds over different payment channels, is focused on growth by integrating its technology with its banking partners.

Routable

B2B Startup FinTech Payments Routable announced a $ 30 million Series B fundraiser, led by Sam Altman, CEO of Open AI and former president of Y Combinator, and Jack Altman, CEO of Lattice. Flexport and a range of angel investors also participated. Targeting mid-market businesses that need to send a high volume of B2B payments, Routable said it will use the funding to focus on growing its team and expanding into the large business customer segment.

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