Online invoice finance platform for digital media firms closes integrated debt and equity round.
BillFront, a fintech lending platform for digital media companies, has closed a $35m Series A fundraise. Investors in the round included 4Finance, NIBC Bank and existing investor FinLeap. Exactly what proportion of the $35m is equity money is not clear.
BillFront uses technology to connect directly to media companies’ invoicing systems, and then automatically identifies which invoices are eligible for financing. The company says that its strong focus on technology and data allows its customers to access funding in a “fraction of the time” that it would take to them via traditional means. BillFront’s customers include advertising agencies, ad-exchanges, networks, publishers and app developers. One such firm is DynAdmic, an adtech firm which uses big data to help advertisers hone in on relevant user segments online.
One of BillFront’s backers – 4Finance – is itself a globally active fintech lending platform, which specialises in short term consumer credit. The company funds its loans using bonds, and has issued €150m so far in 2016. The firm acquired Bulgarian TBI Bank for €69m in August of this year.
The money from the Series A will be used to expand the company further to support an expanding customer base, to continue the development of the BillFront’s technology, and for strategic hires.
“With this financing, we are adding two more strong partners that enable us to execute our vision of becoming the leading alternative finance platform for digital media businesses,” said Greg Dimitriou (pictured above), co-founder and managing director of BillFront, who spent 12 years at JP Morgan in the media investment banking space prior to founding the company.
In a tough year for the online lending industry, invoice finance appears to have emerged with its appeal to venture investors intact. Only yesterday we learnt that US short-term lender BlueVine had clinched $49m in a Series D fundraise.
BillFront was founded in 2015, and has offices in both London and Berlin.