Instant Factoring, the first online micro-factoring fintech in Romania, that is dedicated to small and medium companies and microenterprises, and TechVentures Bank, the Romanian universal bank with a tradition of 13 years on the market, are partnering to support SMEs, but also any other company that has difficulties in managing the cash flow or that wants concrete development solutions.
”The partnership between Instant Factoring and TechVentures Bank SA, a bank that addresses the SMEs, is an opportunity to bring our 100% digital financing solutions closer to those who need them to sustain their business. Tech Ventures Bank will offer its existing and potential SME clients the possibility to transform their invoices into liquidities in just a few hours via a simple process in which the funding application from Instant Factoring can be initiated from the bank’s website, but also from its branches”, declared Cristian Ionescu, Instant Factoring CEO.
According to an analysis made by the White Cart of SMEs for 2020 , 98% of the entrepreneurs said that they felt the impact of the COVID-19 pandemic and that they ran into difficulties like the lack of predictability of the firm’s evolution, decreasing of internal demand and lack of staff.
When the health crisis reached its apex, 63% of entrepreneurs self-financed their economic activities, the access to financing being another difficulty they felt, and only 3.4% of them utilized factoring. Depending on the business size, only 2.5% of the microenterprises, 4% of the small enterprises, as well as 11.3% of the medium enterprises used this solution.
“The Instant Factoring and TechVentures Bank partnership comes as a natural answer to provide access to alternative financing sources to cover the needs of these companies. Therefore, the entrepreneurs can finance their invoices approved for payment by their business partners without waiting to collect them, having access to cash for current remittances and investments. These advantages are also followed by time-saving through the externalization of invoices collection, 52.4% of the entrepreneurs considering that the rapidity of services is the most important criterion when it comes to choosing a financing partner”, adds Cristian Ionescu.
TechVentures Bank set out to provide products and financial services that meet the expectations of its clients whose profile is continuously changing, technologizing having an important role in this process.
“The collaboration with Instant Factoring comes to support the bank’s strategy by the fact we’re promoting online access to the products provided by our partner. At the same time, we widen the range of the financing products that our clients can benefit from, with fast solutions for transforming invoices into liquidities. The common objectives of TechVentures Bank and Instant Factoring for this year are directed at the facilitation of access to financing for as many small and medium companies as possible. We set out to reach as many entrepreneurs as possible so we can get, by the end of the year, a considerable volume of financing”, declared Cristian Alexandru Nae, Deputy General Manager of TechVentures Bank.
The process is exceedingly simple, the application for financing from Instant Factoring IFN SA being initiated from the TechVentures Bank SA website. From the partnership with Instant Factoring IFN SA can benefit the clients of economic entities that either have difficulties managing the cash flow or need concrete solutions for business development.
Instant Factoring is the first fintech online micro-financing company in Romania, dedicated to small-sized companies and micro-enterprises, member of the European association of companies, Fintech Innovate Finance, based in London. Instant Factoring is the first non-bank financial institution registered at the National Bank of Romania. By launching the online factoring platform www.instantfactoring.ro, the company is set to support the development of small companies through easy and fast financing solutions, using technology.
In 2020, Instant Factoring was awarded “The Best Digital Factoring for SMEs in Central and Eastern Europe” by the SME Banking Club Europe.
TechVentures Bank is a universal Romanian bank founded in 2009, which has run under this name since December 2020, following a rebranding process. At present, it operates through a network of 13 territorial units, and it is in continuous development, registering in 2021 an asset growth rate of 40%.
The bank offers a complete range of products and financial services calibrated on the profiles of different client segments. It follows growth in the retail market, where it will intensify the digital transformation process, likewise in the SMEs market, paying attention, especially, to the technology companies and their employees.