Float, the Stockholm-founded revenue-based
financing platform for tech SMEs, has secured a €4.5 million Series A funding
round led by Hamburg-based CHAPTERS Group AG. As part of the investment,
CHAPTERS CEO Jan-Hendrik Mohr will join Float’s board.
Founded in 2022, Float was created to improve
access to growth capital for European technology companies through non-dilutive
financing solutions, including revenue-based financing, credit lines and
working capital. To date, the company has provided more than €100 million in
funding to over 130 European tech businesses, including RoomPriceGenie and
RedTrack.
The funding comes at a time when access to
growth capital remains a challenge for many European startups. Venture
investment in Europe continues to lag behind the US, limiting growth
opportunities for founders and contributing to the relocation of high-growth
companies outside the region.
Float aims to address this gap by providing
founders with both financing and the financial tools needed to build and scale
businesses in Europe.
Cedric Notz, CEO and co-founder of Float,
said today’s financial infrastructure is not designed for modern technology
companies. While startups operate globally from day one, financial services
remain fragmented, heavily reliant on manual processes and largely confined to
local markets. Drawing on his own experience securing working capital, Notz
said Float was founded to make business financing faster, simpler and more
transparent.
Our ambition now extends beyond
lending. We are building an AI-native financial platform that brings together
capital, banking and financial data in one place, giving founders the tools
they need to spend less time managing finances and more time building their
businesses. We want Europe’s founders to have every opportunity to build and
scale globally without leaving the continent,
he added.
The new funding will support Float’s next
phase of growth as the company evolves from a provider of flexible financing
into an AI-native financial platform for startups and scaling businesses.
Lending will remain at the core of the business, complemented by AI-powered
financial management tools designed to help founders make faster financial
decisions and automate operational tasks.
By connecting directly to bank accounts and
accounting systems, the platform will provide real-time financial insights
while streamlining processes such as payments, expense management and
accounting.
The investment will also enable Float to
double its team, strengthen its presence in the UK, already its largest market,
and explore opportunities in the M&A market through its strategic
partnership with CHAPTERS.