Debit raises £2.5m to offer easy loans and a business credit card to UK startups
Dynamic funding platform for start-ups Debit set foot in the UK with £2.5m pre-seed funding. The investment is a mix of equity and debt funding from both venture capitalists and angel investors from the fintech world. The tour was supported by PlatformXitthe co-founder of the electronic wallet company daddyand QNBEYOND Ventures, the VC arm of QNB Group. The investment will determine the platform’s future funding options later this year.
Founded by Tayga Baltacıoğlu, Andres Korin, Attar gear, the London-based fintech aims to bring the flexibility of the buy now, pay later (BNPL) model to corporate finance. Initially focusing on the UK, it launched two products: hassle-free loans and a business credit card.
The platform plans to tap into start-up companies that need more capital than traditional banks can provide and less capital than is offered by larger venture capital firms. The company will offer business loans ranging from £5,000 to £50,000, with interest rates starting at 1.40% per month.
According to the company, the boosted debit card will offer credit limits typically 20 times that of traditional lenders and 0% interest if paid within 30 days.
Debite CEO Tayga Baltacıoğlu said, “We are more than excited to realize our vision with the launch of Debite. So many start-ups start out with incredible ambitions and the potential to do incredible things, but the problems of managing the heavy burden of operational costs and the lack of attractive financing options from traditional lenders to help smooth cash flow means growth is often stifled. We know this market is ripe for innovation and we have huge growth plans to meet this challenge.
The company said more than 100 companies have already signed up to its pre-launch waiting list asking for access to more than £1million in potential credit.