SAPI Secures £7.5M Equity Funding: Boosting Small Business Lending Landscape

March 13, 2024

Author: Karan Bodh
SAPI Secures £7.5M Equity Funding: Boosting Small Business Lending Landscape

SAPI, the fintech startup aiming to revolutionise small business lending, has closed a substantial £7.5 million equity fundraising round. This funding is a significant step forward for SAPI, standing for 'Securities API,' as it seeks to empower payment companies to provide business loans and financial products to their clients, thus expanding their payment ecosystem while earning a revenue share.

Mai Le, the co-founder, and CEO of SAPI, expressed the company's mission to foster the growth of small businesses. Le highlighted how SAPI assists payment companies in establishing stronger connections with their client base, fostering mutually beneficial relationships.

The recent fundraising success marks SAPI's emergence from several years in stealth mode, during which it has forged numerous significant partnerships, many of which are currently undisclosed due to non-disclosure agreements, according to sources familiar with the company.

Robert Dighero, co-founder and partner at Passion Capital, emphasised SAPI's role in supporting small businesses, particularly in the wake of the pandemic, which underscored their importance to the economy. Dighero sees SAPI becoming integral to the financing landscape in the UK and Europe.

The funding round saw the participation of prominent backers such as Tom Blomfield, Martin Kissinger, Luca Martinetti, Raffaele Terrone, Lopo Champalimaud, Oscar Pierre, Niccolò Maisto, Michele Attisani, and Will Neale. This substantial investment was entirely facilitated by existing shareholders, all of whom reinvested at an increased valuation, signalling confidence in SAPI's future prospects.

Martin Kissinger, founder of Lendable, highlighted SAPI's exceptional founding team and its innovative approach in the embedded finance sector, providing much-needed financing solutions for business owners.

The infusion of £7.5 million in capital will enable SAPI to onboard new strategic partners, enhance its product offerings, and expand its presence across Europe. Alexis van Lennep, SAPI's co-founder, expressed excitement about broadening support for small businesses beyond the UK and reaching across Europe.

This fundraising success comes as a welcome development for the fintech sector, which faced challenges in 2023, experiencing its lowest level of venture funding in six years. SAPI's achievement signifies a promising start for the sector in 2024, reinvigorating investor confidence and demonstrating the continued potential for innovation and growth in fintech.

In conclusion, SAPI's £7.5 million equity fundraising round represents a significant milestone for the company and the broader fintech ecosystem. With strong support from investors and a clear mission to empower small businesses, SAPI is poised to make a meaningful impact in the world of small business lending and financing.