Launched just six months ago, the fintech startup from Lille, Unlimitd, has just closed a €5 million seed funding round with an ambition to become a major player in the Revenue Based Financing (RBF) market.
Founded by Julien Zerbib, Unlimitd has plans to democratize the RBF model, which is booming in the US, across France and wider European markets.
RBF is a new alternative to fundraising and bank debt that has taken off across the US. The model offers different benefits, including that there is no capital dilution and there is no personal guarantee.
As an alternative to fundraising and bank loans, Unlimitd offers companies financing that is based on their future revenues to fuel their growth by instantly transforming future cash flow into immediate cash. In return, companies pay a fixed percentage of their future revenues.
Through a scoring method that is based on financial and banking methods, the startup is able to select eligible companies and define the financing conditions. The scoring system has been built on an in-house technology of aggregation and algorithmic analysis of data. Unlimitd offers a validation process in less than 48 hours.
Julien Zerbib, founder and CEO of Unlimitd, said: “Our ambition is to become a leading player in Revenue Based Financing in Europe, where interest in RBF is growing due to the advantages it provides. Although the major difficulty in Europe is obtaining agreements, we have overcome this obstacle and have been working for over a year on developing Unlimitd and our advanced scoring technology, with the ultimate goal of becoming a global RBF platform.”
Currently, the young company is financing companies with business models based on recurring revenues. They can benefit from financing for up to one year, which will be renewable depending on their performance.
The fresh funding from business angels such as Michael Cohen (Absolute Capital Partners, Adar Capital), Michel de Guilhermier (Photobox, Inspirational Stores), Ilan Elbase (Effective Capital, Beyond Border) and Jordan Zeitoun (Former CEO Financière Immobilière Bordelaise) is enabling the fintech startup to accelerate development.
Already with 12 clients in the SaaS and B2B industries, Unlimitd plans to expand across different sectors, including e-commerce and marketplaces. The funding will also mean they can continue development in France, and recruit 12 more people by the end of the year.
Unlimitd will also finalize a partnership with a European credit institution by the end of the year. Through this partner, Unlimitd will benefit from a banking license, state-of-the-art banking-as-a-service technology, and future capacity to expand in Europe.