Lithuanian embedded revenue-based lending solution Softloans raised €1M

Vilnius-based fintech startup Softloans has secured €1M in a pre-seed round of investment, led by a Lithuanian accelerator and fund Firstpick, with strategic contributions from some business angels. 

Founded in 2022 by Audrius Griskevicius, Edmundas Kevisas, and Aleksandras Kunickas, Softloans has developed a revenue-based embedded lending solution for electronic money institutions, marketplaces, payment solutions providers, aggregators, and other digital service platforms. The startup provides these companies with tools to integrate with customers' data sources, perform client scoring, provide funding offers, issue funding, and perform loan monitoring and collection.

First, Softloans’ solution assesses the risks and creditworthiness of the company, issues the loan, and then constantly monitors the income flows and automatically deducts the agreed percentage for the repayment of the loan. The technological solution gives an opportunity to provide financing without collateral and a fixed repayment schedule. Interest is replaced by a one-time loan fee. Softloans has ten partners and has processed the data of almost 1K corporate clients in Lithuania, Latvia, Estonia, the Netherlands, Finland, and Poland.

The startup will fuel the investment to develop its technology further, start offering its solution to companies that use POS terminals, and expand into new markets.

Established by an ex-Lithuanian team of Estonian accelerator StartupWiseGuys, a VC and an accelerator Firstpick aims to support 45 startups over the coming three years. Its fund size is €20M. The initial ticket per startup is €50-€200K. The Managing Partners are Jonė Vaitulevičiūtė, Marijus Andrijauskas, Dmitrij Sosunov, and Andra Bagdonaite.