Barclays Techstars Accelerator alumni company Novicap announces $1.7M Series Seed from Partech Ventures, Techstars Ventures and Cabiedes & Partners
Novicap, the invoice trading marketplace, has announced a $1.7M Series Seed. The company, which launched in 2014, allows small and medium companies to access financing by selling their outstanding invoices to professional investors who can access a new asset class with double-digit returns.
Investors can access a new asset class
Focussing on SMEs with blue-chip debtors, Novicap boasts double-digit returns for investors while maintaining a 0% default rate after hundreds of successful transactions. On Novicap’s investment side, family offices, high-net-worth and corporate investors, can enjoy fully automated trading and diversify their portfolio by buying parts of multiple invoices.
Fast and transparent alternative to finance SMEs
Novicap sets out to provide a faster, more flexible, and transparent way to finance companies. Small and medium companies can apply online and start discounting their invoices in less than 48h. Once registered, companies upload invoices which can be sold to a pool of professional investors instantaneously.
Aimed at solving the issue of long payment terms (60-90 days)
Federico Travella, CEO and co-founder of Novicap explains “Extended payment terms can have far-reaching consequences for SMEs and the rapid growth of our business validates market demand for an innovative financing solution” He added that the new firepower will solidify Novicap’s position as the leading online invoice finance platform in Southern Europe.
David Cohen, Managing Partner at Techstars Ventures said: “During the Barclays FinTech Accelerator powered by Techstars, Novicap impressed everyone with their innovative financing marketplace, as well as the high calibre and determination of the founders.” He added, “We strongly believe in the value of the platform and are excited to see the Novicap story unfold.”
Romain Lavault, General Partner at Partech Ventures, said: “The invoice trading market has a promising future and Novicap has all the cards in place to succeed. We believe in the ambitious team and the strong vision of the firm.”
The funding round closed earlier this year and includes the participation of global private equity firm ACE & Co and San Francisco-based Tekton Ventures.
Novicap is headquartered in London and has a client base of mainly Spanish companies which are affected by the longest payment terms in Europe. As demand for alternative finance grows, Novicap continues to expand its customer base, achieving a 90% client retention rate.
Christina Clark +44 (0) 20 7074 1864
Federico Travella +34 622502373
NOTES TO EDITORS
Novicap, the invoice trading marketplace, was founded by Federico Travella (CEO, 27), a former Managing Director at Rocket Internet in Southeast Asia; Marc Antoni Macià (COO, 26), former Director of Business Intelligence and Strategy at Westwing (Rocket Internet) and founder of Palila; and Nicolas Overloop (CTO, 28), first engineer at Geckoboard with ample experience in building online marketplaces. Marc is an entrepreneur who, like many others, faced difficulties in growing his technology and fashion accessories business, Palila. He faced unfavourable payment terms of 60-90 days imposed by large clients. At the Young Talent Program (YTP) of IESE Business School, Marc met Federico and began exploring the opportunity. In July 2014 they joined forces with Nicolas Overloop, the technical mind of the team, and began their journey to create a financing solution aimed at SMEs in Europe. Novicap counts 20 young professionals working from London and Barcelona.
About Partech Ventures:
Partech Ventures is a leading venture capital firm with offices in Paris, Berlin and San Francisco. Partech manages a seed, venture and growth fund, focusing on consumer Internet and information technology firms. Other investments include FX service platform, Kantox and MenInvest, the largest platform in the online fashion industry for men.
About Techstars Ventures:
Techstars Ventures is the venture capital arm of Techstars with $265M under management and is currently investing out of its third fund totaling $150M which is focused on seed and series-A investments in Techstars accelerator program graduates, new companies started by Techstars alumni, and companies formed by Techstars mentors.
ACE & Company:
ACE & Company, co-founded in 2005, is a global private equity group specialized in co-investments. Headquartered in Geneva, Switzerland, ACE & Company has operating offices and team members in New York, London, Cario and Hong Kong. ACE has been an active investor in innovative early-stage technology companies since 2008, with more than 55 investments in start-ups, including Docker, Pebble, Transferwise, GoCardLess.
About Cabiedes & Partners:
Cabiedes & Partners is a leading seed and early-stage investment firm in Internet and technology ventures in Spain and Europe. Previous investments include car-pooling app, BlaBlaCar and Forex trading platform, Kantox.
About Tekton Ventures:
Tekton Ventures is a leading early stage investment firm based in San Francisco. Based out of Silicon Valley, with teams travelling around the world to access early stage opportunities in key geographic pockets of innovation, Tekton benefits from collaborations with some of the world’s most successful technology entrepreneurs and venture investors.
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