Digital Commerce Platform For SMEs, MODIFI Raises $ 24 Million Funding, Reaches $ 120 Million Valuation

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The COVID-19 pandemic has left SMEs stranded. This is where the Berlin-based global fintech MODIFI comes to the rescue as its mission is to empower SMEs to trade and grow their businesses and benefit local economies. Now, the fintech, which helps small and medium-sized enterprises (SMEs) finance and manage their international trade, has secured $ 24 million (nearly £ 17.4 million), bringing its valuation to $ 120 million. dollars.

Eyes to help UK SMEs

The investment round was led by new investor Heliad Equity Partners with the participation of Neva SGR, the venture capital investment vehicle of the leading Italian banking group Intesa San Paolo. In addition, existing investors including Global Founders Capital, Maersk Growth and Picus Capital participated in the round.

MODIFI will use the fund to transform its digital trade finance platform for SMEs into a global center for trade management. The new funding round will result in major platform upgrades, allowing customers to take care of all trade-related activities in one place. This includes, among other things, finding new business partners and managing currency risk.

The platform allows international SMEs, including UK ones, buyers and sellers, to finance transactions that typically experience payment delays due to supply chain and shipping delays.

“Small businesses don’t have the tools and the know-how to negotiate with the ease and comfort enjoyed by their larger counterparts. The available solutions are fragmented and do not address the problem holistically. We have successfully digitized the trade finance industry and are now developing our platform into a comprehensive trade management center that will allow SMEs to take control of their global business activities. Together with Heliad Equity Partners and Neva, we are delighted to have two new strong partners that complement our existing shareholder base, ”said Nelson Holzner, CEO and co-founder of MODIFI.

“MODIFI has not only grown in business and reach over the past few years, but also in its approach to solving systemic issues related to global trade. We are very happy to support the stellar team around Nelson Holzner, Sven Brauer and Jan Wehrs from MODIFI on their journey to become the leading finance and trade management platform for SMEs. Small businesses are the backbone of local economies, and it is essential that we help them grow and prosper, ”said Faulk Schaefers, CEO of Heliad Equity Partners.

“The ability to raise funds and attract investors and industrial partners around the world in a very short period of time confirms the enormous potential of MODIFI to become a billion euro company. It is clear that global trade needs digital solutions. MODIFI has already done a lot to simplify and automate paper-heavy trade finance processes, and we look forward to the fintech company tackling a broader set of global trade challenges, ”said Mario Costantini , CEO of Neva SGR.

Digital trade finance platform for SMEs

Founded by Nelson Holzner, Sven Brauer and Jan Wehrs, MODIFI is the only digital trade finance platform for SMEs that covers the three main trading regions of Europe, Asia and North America, which encompass nearly 80 % of world imports and exports. It provides SMEs with simple digital solutions to finance their transactions, protect them from counterparty risk, and easily track and manage their shipments.

With this platform, MODIFI can solve global trade finance for SMEs. Using simple digital solutions, fintech removes the paperwork, hassle and red tape that hinders those involved in international trade, giving them the working capital and risk protection they need to thrive.

Previously, MODIFI raised a $ 60 million debt facility from Silicon Valley Bank and was successfully launched in the United States, the Netherlands and Bangladesh in the first half of 2021. Currently, the company operates in nine offices in New York, Berlin, Amsterdam, Delhi, Mumbai, Dhaka, Shenzhen, Hong Kong and Dubai.


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