London-based Uncapped is a fintech company that changes the way online companies fund their growth and inventory costs. In a recent development, the company picked $80 million (nearly £56.4 million) debt and equity funding.
Aspirational growth plans
The investment round was led by Lakestar along with participation from existing investors including Mouro Capital, White Star Capital, Global Founders Capital, and All Iron Ventures. With this, the overall investment raised by Uncapped to date is $120 million (nearly £84.5 million).
The company intends to use the funds to expand its business reach with the launch of a slew of new products and services in the near future. By penetrating deeper into the banking sector, Uncapped plans to solve issues around financial visibility, access to third-party data, access to cash flow and expansion of credit products. Also, it plans to grow its team from 35 to 100 by the end of 2021 with a focus on engineering and product roles.
Piotr Pisarz, Co-Founder of Uncapped, said: “Digital companies are innovating and evolving faster than ever before, but their legacy banking providers are not keeping up with the pace. We want to help digital entrepreneurs with quick access to funding, insights that help their business grow, rewards they actually care about, and modern integrations that will save them time and money.”
Asher Ismail, Co-Founder of Uncapped, said: “The reality is that legacy banks don’t really understand the needs of digital entrepreneurs, and their dated infrastructure is not up to the standards required to help their business grow. So it’s no surprise that 82% of business owners say they are unhappy with their bank. This is a huge problem and, as digital entrepreneurs ourselves, we’re best placed to solve it.”
Nicolas Brand, Partner at Lakestar, said: “The composition of our economies is changing, with digital native businesses contributing an ever-increasing share to overall GDP. Uncapped uses real-time data provided by its clients across APIs to offer bespoke credit and other novel banking services. We are proud to be partnering with Piotr and Asher on their journey to change how funding and banking in a digital economy works.”
Simplfiies funding for entrepreneurs
Uncapped was founded by Asher Ismail and Piotr Pisarz in 2019, due to frustration with the limited financing options available for the UK and European entrepreneurs in order to finance growth. It soon became a popular alternative to traditional debt financing and venture capital.
The company provides founders with growth finance for a flat fee as low as 6%, and capital can be released in as little as a day. Businesses only repay the capital as they make revenue with no set repayment and no compounding interest, equity or personal guarantees, and there are no credit checks or business plans required. It is ideal for companies in various sectors including e-commerce, SaaS, direct-to-consumer (DTC), gaming, and app development.