Berlin-born, Digital finance platform Tapline, has raised €31.7 million in debt and equity in the Pre-Seed funding round.
The London-based alternative asset management firm Fasanara Capital contributed €30 million of the total as debt financing.
Antler, Black Pearls VC, 365 fintech, Depo Ventures, Impetus Capital, and other business angels are among the investors in the remaining €1.7 million equity round, which is led by the Czech VC firm V-Sharp Venture Studio.
Tapline will be able to take advantage of the opportunity in the rapidly expanding SaaS sector thanks to the most recent financial infusion. Additionally, the money will improve the solution and help add important marketing and product personnel.
“We listened to the market’s fundraising pain points, and it became obvious that an alternative funding solution was needed. It must be straightforward, simple to comprehend, transparent, and offer reasonable prices with no hidden fees. Finally, we can provide founders with a quick, open, and non-dilutive finance solution so they can keep concentrating on what they do best: creating creative enterprises. Additionally, our platform will enable SaaS businesses to keep concentrating on growth despite the current state of the economy, said co-founder and CEO, Dean Hastie.
Tapline was founded to help subscription-based businesses convert their anticipated recurring revenue for the next 12 months into cash upfront. As a result, founders receive the funding they require right away for future growth and expansion.
Especially in the DACH and CEE countries, the company focuses on the SaaS vertical spanning B2B and B2C business models. SaaS models, according to the corporation, provide high levels of certainty in recurring revenues, enabling precise financial underwriting.
For instance, SaaS businesses with monthly recurring revenue as low as €8K can finance their growth by converting up to 60% of their ARR into immediate, non-dilutive capital. Around eight persons are currently employed by the organization, and 25% of them are women. The co-founders, who are from South Africa, Kazakhstan, and Bulgaria, are based in Germany. The other members of the team, who are from Bosnia, Lebanon, and Spain, work remotely.
“A significant factor in the expansion of digital SMEs is access to funding. To support small businesses in the challenging macroeconomic environment of today, a financial solution is necessary. Due to their goal of democratizing access to funding for digital SMEs, German-based Tapline has our backing, says Francesco Filia, CEO of Fasanara Capital.
“Many excellent SaaS businesses have a tested product and a growing user base, but they want more financing to support further expansion. Unfortunately, there hasn’t been an appropriate source of funding in our area for businesses that aren’t suited for or don’t want to pursue venture capital, making it difficult for them to expand their operations and maintain development,” said Matej Zabadal, managing partner of V-Sharp Venture Studio.
Matej further added, “This need is exactly met by Tapline’s non-dilutive funding approach. The investment was a no-brainer for us because Tapline also has a fantastic founder-product fit with Dean, Peter, and Dmitrij.”
Image Credit: Tapline
