Berlin-based technology company re:cap closes one of the largest seed financing rounds among European fintechs. The $111.5M financing round consists of growth capital and liquidity for the financing platform. The growth capital comes from prominent investors Felix Capital and Project A Ventures, with participation from existing investor Entrée Capital. re:cap also receives liquidity for its financing platform, allowing recurring revenue businesses to boost their growth without any dilution or taking on debt. After building up the team and the platform in a matter of months, re:cap’s first product is now officially going live. With the digital funding platform, recurring revenue businesses can convert up to 50% of their Annual Recurring Revenue (ARR) into instant, non-dilutive upfront cash. At the same time, the platform grants institutional investors access to an entirely new asset class as they can invest directly in the recurring revenues of software companies.
'Our funding platform will revolutionize the way software companies finance themselves today. But focusing on software companies is just the beginning: all financing solutions can be rebuilt with the information available in the digital age. Our ambition is for re:cap to become the European champion in this category,' says Paul Becker, Co-founder and CEO of re:cap.
Since the company's pre-seed funding in May of this year, re:cap has not only grown its team to a current 15 employees with former executives from Google, Solarisbank, N26 and NIBC, but also brought the product to market. With the new round of funding, the platform is now officially launching and the first set of customers have received financing terms.
're:cap’s speed of execution in their first months has been tremendous. Both their financing solution and their technology with fully automated underwriting and transaction processing are setting standards. Based on their experience and expertise, the team around Paul and Jonas brings all the prerequisites to build a European category leader,' says Joseph Pizzolato of Felix Capital.
The new capital will be invested into further expansion of the team as well as product. In the coming months, the company plans to expand the use case into other verticals, add additional product features, and enter new European markets
'Today’s newly emerging tech players need money fast to finance and scale their business. re:cap has developed a great new digital funding platform for software companies to finance their business with the right investors quickly. We were the first major investor in Paul’s and Jonas' previous company, LIQID, and have great confidence in the team to build something game changing', says Uwe Horstmann, General Partner at Project A.
Founded in Berlin in 2021, re:cap is a fintech that provides technology comapnies with easier access to capital. The first re:cap product, a digital funding platform, enables institutional investors to invest in the recurring revenue streams of digital companies. In doing so, re:cap is revolutionizing the financing of European software companies. The company was founded by fintech experts Paul Becker (CEO) and Jonas Tebbe (CPO), who previously built wealth tech pioneer LIQID.
Press contact: Philipp Blankenagel
Felix Capital is a London-based venture and growth-stage investor, focusing on the digital lifestyle, operating at the intersection of technology and creativity. The firm’s mission is to be a partner of choice for entrepreneurs with big ideas and help them build strong brands that stand out and move the world forward. Since its launch in 2015, Felix has raised over $600m with illustrative investments in Europe and North America including Farfetch, Mirakl, Oatly, Moonbug, SellerX, Ledger, Juni & Leocare.
More information on felixcap.com and medium.com/felix-capital
Project A is one of the leading venture capital companies in Europe with offices in Berlin and London. In addition to $600M in assets under management, Project A provides its portfolio companies with a wide range of operational support services. This includes more than 100 experts from key areas such as software engineering, business intelligence, marketing and recruiting. Project A was founded in 2012 and since then has supported more than 70 start-ups in 12 countries. The portfolio includes companies such as Trade Republic, sennder, KRY, Voi, Catawiki, WorldRemit, Spryker and Unmind.