CrediLinq raises US$2.6M to enable ultra-fast B2B online financing and payments for SMEs in Asia
CrediLinq, an artificial intelligence (AI) and machine-learning credit underwriting firm, announced today that it has raised USD 2.6M co-led by 1982 Ventures and White Venture Capital. The round was further supported by 500 Global, Sequoia Sprouts, Arkana Ventures, GK Plug and Play Indonesia, Sketchnote Partners, Boleh Ventures and EPIC Angels. CrediLinq will use the new funding to accelerate product development, enter new markets, and expand its team to support their growing client base.
Established in 2021, CrediLinq uses AI, machine learning, and data-driven credit models to generate the credit scores of small and medium enterprises (SMEs). The company helps businesses scale through embedded fintech, and provides credit-as-a-service to offer SMEs faster and more transparent access to credit within seconds at checkout. As a matter of fact, over 50% of the largest B2B marketplaces have, or plan to adopt, a B2B financing solution; most prefer to partner with credit specialists that offer financing at checkout.
CrediLinq offers two embedded fintech products, B2B PayLater and GMV Financing. B2B PayLater allows buyers to perform one-click online payment to suppliers. The buyer gains access to credit terms to purchase supplies and inventory, while the seller receives payment immediately. The frictionless checkout process encourages buyers to place larger order volumes, reduces the likelihood of abandoned checkouts, and nurtures customer loyalty. CrediLinq’s B2B PayLater solution is embedded in their customer’s ecommerce platform with application programming interfaces (APIs) that allow for real-time credit health monitoring. Digitizing the customer journey and touch-time reductions could lead to a 20 to 30 percent increase in efficiency.
CrediLinq’s second product, GMV Financing, allows sellers to offer credit to their B2B customers. The optimal financing amount is automatically determined using CrediLinq’s proprietary technology, which analyzes transactions, credit history, and other alternative data sources. With conventional B2B payment and financing methods, this whole process could take weeks or months; CrediLinq’s end-to-end embedded fintech solution offers instant financing. This encourages a higher conversion rate, and the potential to increase margins and boost revenues by 10 to 15 percent.2 By enhancing risk models and making decisions in more consistent ways, CrediLinq’s customers can also reduce the risk of non-performing loans (NPLs) by 10 to 25 percent.
Deep Singh, Founder of CrediLinq, shared: “As consumers, we no longer view digital payment capabilities as a “nice to have” – we now expect it at the checkout page of every online store. This experience is not common for B2B ecommerce, especially when it comes to extending payment terms and financing. B2B PayLater for buyers and GMV Financing for sellers is how we’re helping companies bridge this online experience gap, and delight their customers with a fast and frictionless ecommerce experience. The future of B2B payments and purchasing will be just like the current consumer experience, and CrediLinq is providing the core technology to accelerate this shift.”
Scott Krivokopich, Co-Founder and Managing Partner of 1982 Ventures, highlighted: “Every business owner knows that the B2B purchasing experience still lags behind the innovation found in B2C payments. As online B2B payments grow, the ability for a company to provide a seamless credit & payment experience at checkout determines their long-term success. CrediLinq isn’t just shaping the future of B2B payments, they’re safeguarding the future of their customers’ business.”