Czech fintech startup Flowpay has secured €30 million in debt financing from London-based investment manager Fasanara Capital. The funding is set to provide working capital solutions for small and medium-sized enterprises (SMEs).
“This credit line from Fasanara Capital strengthens our position as one of Europe’s top embedded lending providers. It enables us to scale beyond the Czech Republic, Slovakia, and the Netherlands at a much faster pace. Our vision is to become the next Czech unicorn,” said William Jalloul, CEO and founder of Flowpay.
Flowpay, founded in 2021 by serial entrepreneur, investor, and finance expert William Jalloul, is dedicated to improving access to operational funding for SMEs. The company offers a specialized platform that leverages AI to automate financing processes, allowing businesses to secure funding based on real-time operational data analysis.
“The future of financial markets depends on modernizing funding accessibility for smaller businesses that traditional banks often overlook. Partnering with Flowpay aligns perfectly with Fasanara’s mission to help close the multi-billion-euro funding gap impacting European SMEs—particularly those excluded due to outdated credit scoring models,” said Matt Kus, Partner and Head of Origination at Fasanara Capital.
Milestones on the way: locking seed funding and joining IBM fintech program
Flowpay initially gained backing from Techstars, a global pre-seed investor, along with notable Czech venture capital firms like Soulmates Ventures and DEPO Ventures. Key angel investors, including Mark Ransford, Martin Herrmann, Kartik Varma, and Allard Luchsinger, have also supported its growth.
In March 2024, Flowpay raised €2.1 million in a seed round to scale beyond the Czech Republic and offer its services to a wider range of SMEs.
Flowpay Founder and CEO William Jalloul explained the inspiration behind the company’s mission through the name, emphasizing its connection to the challenges and opportunities faced by small businesses.
“At the core of naming our startup, we’ve always had small businesses in mind,” Jalloul said. “The path for them is never straight; there are always ups and downs, and it’s never the same. This reminded us of waves and how they flow.”
According to Jalloul, the concept of waves symbolizes both downturns and opportunities in business, each of which comes with financial implications. “These fluctuations invariably come with a cost in terms of capital, therefore pay,” he added previously for The Recursive.
As one of seven European startups selected for the IBM fintech program, Flowpay is actively contributing to the advancement of generative AI in financial services. The company’s team currently comprises around 15 specialists, primarily focused on Data Science and IT.
