iZettle raises €60 Million Series D, Introduces iZettle Advance
August 28, 2015
Stockholm, Sweden: Aug. 28 - iZettle is introducing iZettle Advance, a new way for small businesses across Europe to obtain access to extra capital by getting an advance on future card sales. To support the development and expansion of iZettle Advance and fuel the continued growth of its existing business, iZettle has closed a €60 million Series D funding round led by previous investors Intel Capital and Zouk Capital.
Starting today, iZettle Advance will gradually be made available throughout iZettle’s European markets. iZettle Advance has already been a game changer for Jaime Morales, who runs and owns Chilimundo, a grocery store in Stockholm.
“As a small business, your cash-flow is often uneven and, until now, there have been no good financing alternatives to smoothen things out. iZettle Advance has allowed me to quickly ramp up the size of my product range, as well as to advertise on social media and radio,” says Jaime Morales. “This has had a positive impact on my sales, no doubt about it.”
From peer-to-peer lending to crowdsourcing, young businesses across Europe are increasingly turning to alternative sources of financing. iZettle users eligible for iZettle Advance will be pre-assessed for financing, so there’s no need for any daunting paperwork. Upon approval, users will see funds deposited within days, and payback occurs automatically as a fraction of card sales. So when sales vary, payback varies with it.
“We have aimed to build a financing service that’s completely tailored to the needs of small businesses. The service allows for small businesses to make the necessary investments in their operations, on their own terms and with minimal administration,” says Carl-Richard Häggman, iZettle’s Chief Risk Officer.
For iZettle, the introduction of iZettle Advance marks a first foray into a business beyond card payments, and is a milestone in the company’s ambition to broaden its product and service offering.
To support the development and expansion of iZettle Advance and fuel iZettle’s continued growth in existing and future markets, iZettle has raised a €60 million round of Series D funding, led by iZettle’s previous investors Intel Capital and Zouk Capital, with participation from all of iZettle’s existing institutional investors.
“Small companies have persistently been underserved by the traditional finance industry. We want small companies to thrive, and with iZettle Advance we’re applying the exact same logic as when we started iZettle five years ago, and completely overhauled card payments acceptance for small businesses,“ says Jacob de Geer, iZettle’s CEO and co-founder. <
About iZettle Advance:
- Get an advance on future card sales. Get money today and pay back through a fraction of your daily card sales. No security required.
- Adjust the offering to your own needs. Tailor the amount and payback pace to what suits your business, within limits customised to your track record.
- Quick approval and money deposited within days. No daunting paperwork. You have been pre-assessed for what you’re being offered.
- Adapted to your business’ pace. No payback deadline. When your sales vary, your payback varies with it.
- Fixed and transparent pricing. The advance comes with a fixed fee, and there are no additional fees if the payback takes longer than expected.
- Focus on sales, don’t worry about payback. Repayments are completely automated so that you can fully focus on managing and growing your business.
iZettle is the number one provider of mobile payment services and apps in Europe and Latin America. From card readers for smartphones and tablets to cash registers, sales tools and cash advances, all of iZettle’s solutions are simple to set-up, super secure and designed to help small businesses grow. Founded i 2010 with headquarters in Stockholm, iZettle is now available in 11 countries globally. iZettle’s investors include 83North (formerly Greylock), American Express, Creandum, Dawn Capital, Index Ventures, Intel Capital, MasterCard, Northzone, Santander Innoventures, SEB Private Equity and Zouk Capital.
About Intel Capital:
Intel Capital, Intel’s global investment organization, makes equity investments in innovative technology start-ups and companies worldwide. Intel Capital invests in a broad range of companies offering hardware, software, and services targeting enterprise, mobility, consumer Internet, digital media and semiconductor manufacturing. Since 1991, Intel Capital has invested nearly US$11.6 billion in over 1,440 companies in 57 countries. In that timeframe, 213 portfolio companies have gone public on various exchanges around the world and 373 were acquired or participated in a merger. In 2014, Intel Capital invested $359 million in 125 investments, including 59 new deals. For more information on what makes Intel Capital one of the world’s most powerful venture capital firms, visit www.intelcapital.com or follow @Intelcapital.
About Zouk Capital:
Zouk Capital is a private equity and infrastructure fund manager investing in the clean economy. Zouk’s distinctive dual-track strategy of Growth Capital and Infrastructure capitalises on the investment opportunities created by the global shift to greater resource efficiency. Zouk’s Growth Capital funds invest in companies that enable a more intelligent use of resources across sectors such as IT and communications management, industrial goods and services, energy and transport and logistics. The Infrastructure investment funds finance the construction of new high-yielding assets, by acquiring, developing and funding infrastructure projects during the late-stage of development and investing across a broad range of renewable energy and environmental sectors, including distributed energy, energy efficiency, storage, waste to energy and geothermal. Zouk has invested in the clean economy since 2000 and is one of the largest fund managers of its strategy in Europe. Zouk has €600 million under management and offices in London and Singapore. www.zouk.com.