Czech fintech Flowpay raises €2.1M in a seed round

Prague-based fintech startup Flowpay that uses predictive AI models, automation and Embedded Finance has informed AIN about its fresh €2.1 million seed investment round. The round was backed by Techstars, Soulmates Ventures, and DEPO Ventures. The investment will help Flowpay to expand and develop its technology.

About Flowpay

  • Flowpay was founded by William Jalloul in 2021. It is a fintech startup that develops a way to assess not only the risk but mostly the potential of small and medium-sized enterprises (SMEs) to provide operational financing for their growth. The startup uses AI and Embedded Finance to automate the entire process from funding applications to risk scoring and evaluation.
  • The startup also claims that, unlike banks, it does not require clients to fill out paperwork, instead connecting to point-of-sale systems, e-commerce platforms, and more. Based on this data, it evaluates the availability of financing and offers each client a customized loan to fit their needs.

Flowpay utilizes the power of AI to assess risk and efficiently process loans, embedding their tools in the platforms that SMEs already use for their daily operations. We have been impressed by the quality of its leadership, the robustness of its credit models, and their speed of execution. Techstars believes Flowpay has shown it has the potential to become a leader in the transformation of the SME lending landscape,

Allard Luchsinger, Managing Director Techstars, said.

Investment details

  • Before the current funding, Flowpay was accepted to Techstars, one the world’s most active pre-seed investor with over 3,800 companies in its portfolio, in 2022. Alongside six other European startups, Flowpay was also accepted to the IBM fintechx program. In addition, Flowpay won Technological Startup of the Year in the Vodafone Idea of the Year competition.
  • Alongside Techstars, other participants in the round were Czech VCs like Soulmates Ventures and DEPO Ventures, and key angel investors such as Mark Ransford, Martin Herrmann, Kartik Varma, and Allard Luchsinger.

This newly acquired investment will allow Flowpay to scale beyond the Czech Republic, enhance its technological capabilities, and offer its services to a wider range of SMEs.