Stockholm-based fintech company Invoier continues to challenge established factoring providers by launching the first green factoring service. With Green Factoring™, the company aims to match investors' earmarked capital with small and medium-sized enterprises' (SMEs) growth needs, something that has previously practically only been available to large companies. By demonstrating efforts towards a positive climate impact, SMEs can now also, for the first time, be offered even more affordable financing.
Earmarked, green capital from investors usually comes with lower return requirements and is therefore more economically advantageous for the receiving company. In practice, however, green capital is limited to larger companies that already have their own resources to invest in deeper analyses or hire specific resources in sustainability for the same purpose. Consequently, green capital today is mostly limited to large corporations, with a focus on listed ones.
Given that 99.9% of Swedish companies are SMEs, and that at the same time those who create 4 out of 5 new jobs it feels unfair that they shouldn't get the same opportunities for good financing.
Fredrik Mistander, CEO & Co-Founder Invoier
The new Green Factoring™ service is aimed directly at small and medium-sized enterprises in the financial sector of invoice trading, which is used to optimise liquidity flows and create the conditions for growth. Companies can qualify directly by demonstrating their climate impact or by receiving indications of further efforts they may need to make in order to gain access to the cheaper, green capital.
We want to reward the companies that are already working for sustainability as well as encourage those that are not really taken the plunge yet, but wants to start their journey. Our missing piece is to solve the financing for a lower price for them, continues Fredrik.
About Invoier
Invoier has developed Sweden's only marketplace for invoices. The company aims to improve conditions for small and medium-sized enterprises and works for increased transparency and access to fair and competitively priced capital. The marketplace enables market-rate pricing for SMEs' financing and growth, while giving a new type of investor access to the market. The company was selected from among 4,000 companies as one of a total of eight Swedish companies for the EU's Horizon 2020 innovation programme.
invoier.com.
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