Peer-to-Business invoice financing platform SmartFunding has raised a S$700,000 (US$490,000) seed funding from Fintech Asia Group, the fintech venture builder arm of ASX-listed Fatfish, and Australian investment firm Investorlend.
The Singapore-based fintech startup claims investors who purchase invoices from SMEs on its platform can stand to receive up to between 1.7 to 2.5 per cent a month, or 20 to 30 per cent a year, in returns.
SmartFunding will help startups and SMEs source for potential investors, assess the credit of both invoice debtors and sellers, provide legal assistance and facilitate transactions and fund distributions as well as step in to resolve bad debts should they occur.
“At SmartFunding, we want Singapore’s SMEs to benefit from a flexible way to improve their cash flow. We look forward to working closely with our invoice sellers and investors to ensure that our platform is aligned with the interests of both parties, where risks are credibly managed and transparency is upheld,” said Sandra Ernst, CEO, SmartFunding, in an official press statement.
SmartFunding said it has plans to launch other fintech products in the future.
Image Credit: SmartFunding