Instant Factoring, the first Romanian online micro-factoring company for SMEs, received 1.5 million euros from an investment fund in the United States. The attracted funds, together with the company's equity, will support the expansion of activity on the Romanian market by developing microfinance operations for a volume of invoices totaling up to 20 million Euro in 2019.
The financing accessed by Instant Factoring will support the expansion of the company in other markets in Central and Eastern Europe.
"Attracting this funding will allow us to further support small Romanian companies and to contribute to the development of a healthy and stable business environment that is so indispensable to our economy and our country. We have not accidentally obtained these funds, one of the reasons for the partnership is precisely the strong social and economic impact, and it is also a recognition of our positive results in the Romanian society and in the future in the emerging Europe. It is important that we have new trusted external partners that will guide us in the process of regional expansion that we plan to launch next year, "said Elisa Rusu, CEO and co-founder of Instant Factoring.
Instant Factoring facilitates the development of small businesses by providing them with flexible and innovative financing solutions by converting the invoiced bills into cash. The financing decision is taken within 2 hours due to the advanced technology available to the platform, and within 24 hours the client receives the money in the account. The entire process is automated and completely online, all being fast and transparent and without the need for additional documents. Instant Factoring-funded bills have values up to $ 10,000, but funding is also granted for larger amounts through personalized offers. This service can be accessed by any company regardless of size, activity, and location. This removes the barriers imposed on small companies that need acute liquidity and who could access it with great difficulty or not at all by means of classical financing methods.
The Instant Factoring microfinance platform, aimed at small businesses and micro-enterprises, was launched in April this year, and in the 7 months of its activity, it has attracted 250 customers with a volume of 2 million-euro funded bills. The company's customers come from various sectors of activity such as transportation, consultancy and advertising, FMCG, construction and IT.
"We intend next year, in addition to increasing the volume of processed invoices, to come up with a diversification of microfinance products for SMEs. We closely address the needs of this segment of companies and are permanently connected to technological developments, we offer our customers innovative and efficient products for their business, " Elisa Rusu said.