Hong Kong-Headquartered Neat Extends Its Series A Funding By $4 Mn
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Hong Kong-headquartered Neat, a fintech company on Wednesday announced that it has raised $4 million, which is an extension to their $11 million Series A round closed four months ago. Existing investors MassMutual Ventures, Pacific Century Group, were among others who participated in the Series A Extension. New investor - Vectr Fintech too participated in the extension.
Founded in 2015, Neat, which provides banking alternative services offer online company incorporation and multi-currency wallets to cross border small and medium-sized enterprises (SMEs). It claims that its services are need of the hour for today’s entrepreneur to facilitate their businesses needs.
The company claimed that though world travel has come to a pause, cross border trade has not. It said that new company incorporations in the UK in Q2 has increased to 175,000 compared to the corresponding period of the previous year. The company in a statement said that in Hong Kong more than 27,000 companies were incorporated in Q2 of 2020 which would have earlier approached high street banking providers, but are going for digital alternatives.
Giving an example, David Rosa, chief executive officer, Neat said that few of the successful companies such as WhatsApp and Uber were born after the financial crisis of 2008.
The majority of businesses founded during COVID-19 will have a digital-first mindset, which means they will have an opportunity to start trading globally from day one. We’re excited to be supporting this new wave of international entrepreneurs,” he added.
With its services Neat primarily continues to focus in Europe and Asia and aims to streamline international trade with the help of tools that automate their business processes in future.
Commenting on the development, Mark Munoz, managing partner, Vectr Fintech Partners, said,” Neat has shown great resilience and momentum throughout the current pandemic. The demand for online alternatives to banks has gone up, and the team at Neat has proven their ability to capture this opportunity while maintaining strong unit economics. The new capital injection will allow Neat to double down on their customer acquisition efforts to serve more SMEs looking for a better way to manage their business finances.”