Booste, the fintech offering revenue-based financing (RBF) to e-commerce companies, is today announcing it has raised €12m in Series A funding to expand its model across Europe including in the UK, Ireland and Netherlands.
The news comes just four months after the company has announced its launch and the initial seed round in January 2021.
Booste provides flexible financing to companies, with a particular focus on e-commerce businesses, to help them fund growth activities using RBF. Instead of a traditional bank loan which requires credit checks and personal guarantees or venture capital which leads to equity loss, RBF allows businesses to access funding as and when required and to pay it back depending on their revenue income. The innovative model has been quickly embraced by the e-commerce industry, in particular seasonal entrepreneurs.
Booste was co-created by Tar Heel Capital Pathfinder, an experienced venture builder which previously also backed the company’s seed round. The newly announced €12m round is led by DialCom24, the fintech industry leader from Poland. The funding will allow the company to grow the 15-person team and continue to scale up the platform to reach more businesses across Europe.
Jakub Pietraszek, Booste Co-founder and CEO, said: “The past year has seen a surge in e-commerce businesses launching with more people shopping online than ever before. But this means the competition is much harder too. Booste allows e-commerce business owners to cut through the noise by offering funds they can access and use to grow on their own terms. We’re excited to expand Booste to more businesses across Europe thanks to this funding.”
Michael Kacprzak, Booste Co-founder and CPO, said: “We aim at delivering a fast and flawless experience for our customers in the process of receiving financing and repayment. The newly raised capital will enable us to implement further automation and language localization of our service, which will help us deliver on that promise.”
Michał Wrzołek, Senior Investment Director at Tar Heel Capital Pathfinder, said: As an investor involved in the company from the outset, we are happy to see other industry leaders acknowledge Booste’s potential. I am confident that an investment from DialCom24 and Booste’s cooperation with other group companies will translate into the best customer experience and will allow the company not just to become the leading RBF provider in the newly added markets, but also quickly grow beyond them.”