UK-based business lending platform Iwoca has completed a £21m ($26.8m) series C round featuring CommerzVentures, the strategic investment arm of financial services firm Commerzbank, Tech City News reported today.
The round was led by venture capital and growth equity firm Prime Ventures and included Acton Capital Partners, Global Founders Capital and Redline Capital. It was closed alongside a £25m debt facility from a syndicate led by Shawbrook Bank.
Iwoca provides loans of up to £100,000 to small and medium-sized businesses. Companies can sign up to its online platform in minutes and Iwoca uses its business data analysis technology to approve a loan within hours of an application.
The funding will go to strengthening Iwoca’s technology as well as forming new partnerships as it looks to expand in the UK and mainland Europe. Prime Ventures managing partner Sake Bosch will take a seat on the company’s board of directors.
CommerzVentures and Acton had previously contributed to a $20m series B round in August 2015, after Founders Capital and marketing agency Beyond Digital had taken part in an $8.2m round the previous year. Iwoca has now raised £38m in total equity funding.
Christoph Rieche, Iwoca’s co-founder and chief executive, said: “It has been an incredible journey over the last five years but we are still at the very beginning.
“We have already been able to support 7,000 small businesses but we aim to finance at least a million customers over the next decade. This investment gives us the firepower we need to achieve our mission.”
– Image courtesy of Iwoca Ltd.