A Berlin-based fintech backed by one of the founders of German challenger bank N26 has raised a €17m Series A extension round and says it has sealed a deal with Estonian ride-hailing firm Bolt, which moves into a new category.
Finmid was founded in 2021 by former N26 executives Alex Talkanista and Max Schertel and is backed by their former boss, N26 co-founder Max Tayenthal. The startup is an embedded lender, providing white-label lending services for its clients.
The extension to its Series A was led by Athens-based VC Big Pi Ventures and London VC Mainset, with Earlybird, an existing investor, following on. Other existing investors in Finmid, which has raised a total of €52m, include Blossom Capital.
Finmid also said it has secured a deal with Bolt, providing it with multi-year vehicle financing, giving Bolt fleet operators access to up to €400,000 over four years to finance vehicles. It has also struck a merchant lending deal with Skroutz, the Greek online marketplace, complementing existing partners which include Wolt and Delivery Hero.
The capital will be used to expand Finmid's asset-finance products, fund infrastructure and underwriting, and to support expansion into new categories including mobility and e-commerce.
Talkanitsa said: "Two years ago, embedded lending meant a cash advance for a restaurant. Today the same rails carry a multi-year vehicle loan, a marketplace's own balance sheet, and the potential for more. Every platform with business customers now has a way to become their financing partner without becoming a bank."