Bitbond Receives €5 Million in New Debt Financing
Lending platform Bitbond has received a commitment from Obotritia Capital to fund loans worth €5 million through its platform.
With the debt commitment, SME loans from European prime borrowers will be funded instantly on Bitbond, reducing the time it takes for business owners to apply and receive a loan to 30 minutes.
Obotritia also invested an undisclosed amount of equity to acquire a stake in Bitbond. The investment will be used by Bitbond for further product development and marketing. Bitbond plans to continue growing its user base with online sellers and small businesses who need working capital financing.
Over 1,700 loans worth €1.4 million were originated through Bitbond since its launch in 2013. 90,000 users from 120 countries have registered with the service to date.
Founder & CEO of Bitbond Radoslav Albrecht said: "The debt commitment by Obotritia brings Bitbond to the next level in our efforts to provide universal SME financing. The next step is to work with partners. Such partners could be online marketplaces who want to add value to their platforms by giving their merchants access to instant cash through Bitbond."
Most of the platform's borrowers are online sellers who run their shops on e-commerce marketplaces like eBay, Amazon or Etsy.