B2B FinTech encompasses a broad array of technologies designed to optimize workflows for chief financial officers (CFOs) and other finance professionals, from payroll to procurement. But this week’s venture capital roundup placed B2B payments squarely at the center of investor focus with more than $250 million raised for industry startups.
Based in France and ’Côte d’Ivoire, Julaya has announced a $2 million pre-seed funding round for its technology that enables small businesses, large corporates and public entities to disburse funds to mobile banking wallets. With integrated accounting capabilities, the company seeks to digitize payouts from businesses to their workers and suppliers by taking advantage of high mobile penetration. The funding, announced this week but secured last month, was provided by Orange Ventures, MFS Africa Frontiers, Saviu Ventures, Launch Africa Ventures, 50 Partners Capital and angel investors, TechCabal reports said. Julaya said it will use the investment to expand its market share across The Ivory Coast and broader West Africa and to introduce new digital payment products.
Also raising $2 million was SupplyHive, a technology startup designed to help procurement teams and other professionals diversify their supply chains to mitigate risk and promote inclusion through supplier performance analysis. Investors at LOUD Capital led the round, while Revolution and Cleveland Avenue-CAST US also participated. SupplyHive said it will use the investment to scale, invest in sales and marketing, and fuel product enhancements and integrations.
The $10 million raised by Notch will go towards enabling the supply chain software firm to expand its presence among restaurant business customers throughout Canada and the U.S. The Canada-based company offers technology to help optimize wholesale food procurement for restaurants and distributors. Accomplice and BDC led its most recent round, while MATH Venture Partners, Golden Ventures, The Yield Lab, Garage Capital and Plexo Capital also participated in addition to several angel investors.
In-purchase financing FinTech Behalf, which embeds trade credit solutions for B2B merchants and their customers, recently secured $19 million in venture capital. Existing investors MissionOG, Viola Growth, Viola Credit and Vintage Investment Partners participated in the funding round, while new backers Migdal Insurance and La Maison Partners also participated. The venture capital, which joins a new debt facility for the company of up to $100 million, will help the company focus on expansion to reach new B2B sellers and their buyers.
Securing nearly $35.4 million in equity growth capital from holding company Aimia, Canada’s Trade X Group of Companies will invest in expanding its cross-border B2B trade platform for commercial vehicles throughout North America, Europe, Asia, Africa and the Middle East. The company’s portal connects buyers and sellers of pre-owned vehicles for fleet, rental, dealer and other vehicle-related businesses. The investment will also go towards strategic acquisitions as the firm pursues a total funding round of $45 million.
DeFi startup Paystand, which uses blockchain to facilitate B2B payments and cash cycle automation for corporate customers, has raised $50 million in Series C funding, it announced recently. NewView Capital led the investment with SoftBank’s Opportunity Fund, King River Capital, Industrious Ventures and Transform Capital also participating. Paystand said it will use the investment to continue accelerating its growth in the B2B payments arena.
Small business team management platform Homebase raised $71 million in funding this week, with investors at GGV Capital leading the Series C round. Bain Capital Ventures, Baseline Ventures, Bedrock, Cowboy Ventures and Khosla Ventures, all existing backers, also participated, according to TechCrunch reports. The startup helps small and medium-sized businesses (SMBs) manage their hourly workers with a variety of services, including payroll, timesheets, human resources, hiring and onboarding. Reports said the company will use the funding to focus on growth, customer acquisition and product enhancements.
The clear winner this week, and a major sign of support for B2B payments FinTech innovation, is Nium which announced more than $200 million in Series D funding raised for its technology. The funding round propelled Nium to become Southeast Asia’s first unicorn operating in the B2B payment space, a company announcement revealed. Riverwood Capital joins a roster of existing investors that include Temasek, Visa, Vertex Ventures, Atinum Group of Funds, Beacon Venture Capital, Rocket Capital Investment and angel investors. Nium said it plans to deploy the funding to invest in its payments infrastructure, expand geographically and across new verticals as well as finance strategic acquisitions.