Finom, a digital bank based in Amsterdam for small and medium -sized enterprises, has collected 92.7 million euros (about $ 105 million) in an investment growing from the fund for the values of Catalyst customers, the company tells Techcrunch.
The infusion of capital “will be used exclusively and only for growth” and not for operating expenses or product development, he told Techcrunch Kos Stiskin, president and co-founder of Finom. He described it as a round of non -traditional funding in which the general catalyst does not take any fairness.
“(O) The basic operations are generating a positive cash flow and all new investments and funding go directly to the attraction of new customers,” said Stiskin.
Finom is mainly in the banking sector, but this year the company has expanded its offers beyond digital banking services. In February, Finom revealed what Stiskin described as an “autonomous accounting agent” for entrepreneurs and freelancers in Europe. And in March, the startup has extended into direct loans, which incorporates a score engine based on artificial intelligence.
Finom’s credit offer, available in the Netherlands, will be expanded throughout Europe by the end of the year, added Stiskin.
Today, Finom has over 100,000 companies in Germany, France, Spain, the Netherlands and Italy as customers, which report a positive unitary economy in all markets. Its revenue model is mainly based on subscription. Finom also generates entry through transaction commissions for certain services and offers a competitive cashback program. The recent expansion in loans has also opened a new flow of revenue through interest on credit lines.
Stiskin refused to reveal difficulties of difficult revenues, but told Techcrunch that Finom doubled his annual recurring revenues in 2024 and that the company is “Ebitdam (useful before interest, taxes, amortization, amortization and marketing).”
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In an interview, Stiskin described the closest competitor of Finom such as Qonto, a Challenger bank based in Paris who in January 2022 announced a huge financing round of 486 million euros ($ 548 million). But Stiskin believes that Finom has a “stronger localization strategy and a more complete suite of products”.
Currently, Finom has 505 employees, growing 31.5% compared to last year. Last September, the company appointed Alessandro Camilotti, former head of Finance and EU Analytics in Klarna, as CFO.
In total, Finom collected almost 190 million euros (about $ 214 million) from his institution in 2020. In February 2024, Finom announced that he had collected 50 million euros (about 56 million dollars) in an equity lap of the Serie B funding co-guided by General Catalyst and Northhzone.
The startup refused to reveal its evaluation. According to PitchBook, Finom was evaluated at $ 150.7 million after November 2021 after a 30 million euro seed financing round (about $ 33.8 million) by VCS Target Global, Tal Ventures and General Catalyst.
Zeynep Yavuz, partner of General Catalyst, believes that Finom has “shown a strong execution in a market that is still deeply submitted”. He also thinks that his modular infrastructure offers the company the ability to “efficiently reduce” between geographies, “exploiting shared skills during the location where necessary”.
“We see the anti-money laundering and knowledge of Finom recycling as an extraordinary-non-non-non-compliance advantage, but for the customer’s experience,” said Yavuz.
