UnitPlus, a modern cash management solution for SMEs, has successfully closed a €4.7 million seed funding round, led by UK-based VC Pact, with participation from Liechtenstein-based FinTech VC Seed X. The round is complemented by other venture capital firms, prominent business angels, and existing investors.
The financing round will be used in particular for the further expansion of the technical infrastructure and the development of new capital market products including an AI-based savings plan for private clients and active ETF and private equity products. With UnitPlus Business, UnitPlus’s solution will provide SMEs with a virtual capital market CFO, to help companies make optimal allocation decisions in cash management across all interest rate environments and thus increase the company’s profitability.
Fabian Mohr, co-founder of UnitPlus, highlighted: “The growth financing is compelling evidence of our efforts to deliver real innovation and added value in the capital market for both individuals and businesses. With UnitPlus Business, companies in particular—who earn minimal interest on their bank and call money accounts—can achieve returns that are consistently aligned with the European Central Bank’s key interest rate, which averaged 3.68% over the past 12 months. Thanks to strong customer confidence and the resulting growth in recent months, we were able to complete a successful financing round in a challenging environment, which will fuel further expansion of UnitPlus.”
The focus on SMEs comes at a crucial time, as small and medium-sized enterprises across Europe face increasing challenges in managing their liquidity effectively. Traditional banking solutions often fail to meet the specific needs of SMEs, who typically have between €100,000 and €5 million in cash reserves that need active management.
UnitPlus’s solution specifically addresses these challenges by providing SMEs with institutional-grade treasury management tools that were previously only available to large corporations. The platform enables SMEs to optimise their working capital, manage currency risks, and access higher-yielding investment opportunities while maintaining necessary liquidity buffers.
In the first half of 2024 alone, UnitPlus achieved a 134% increase in assets under management. UnitPlus Business has already attracted a double-digit million figure in corporate liquidity within the first 10 weeks of its market entry, and is being utilised by numerous companies that have invested seven-figure sums. This demonstrates the need for such a solution in the German market in particular.
Monik Pham, partner at Pact added: “UnitPlus has shown remarkable growth with minimal resources, unprecedented in Europe. While SMEs form the backbone of the European economy – representing 99% of all businesses and employing almost 100 million people – their treasury needs remain largely underserved. UnitPlus Business is uniquely positioned to fill this gap, becoming the digital capital market CFO for mid-sized companies seeking smart cash management solutions.”
Read the orginal article: https://www.eu-startups.com/2024/10/berlin-based-unitplus-bags-e4-7-million-to-further-develop-its-technological-capital-market-platform/
