Germany is one of the key FinTech geographies in Europe that has enjoyed steady funding flows along with some stellar FinTech players in the market to create global news. The year 2018 was exciting for Germany in terms of FinTech funding, which recorded over 55% of YoY growth. Celebrity FinTechs such as N26 and wefox have continued the momentum in the first quarter of 2019 as well by raising $300 million and $120 million respectively, and these are not the only two to cash-in large checks.
However, regulatory scrutiny has followed the rapid expansion of scale and importance for players like N26. In April 2019, Germany-based challenger bank N26 was again in the news, but this time not for good reasons. German regulator BaFin spotted the FinTech bank for its security vulnerabilities and increasing customer service complaints. BaFin has ordered N26 to address staffing, outsourcing, and technical issues. We believe this case will serve as a lesson for other FinTech players in this growing FinTech market. Here is a list of 45 well-funded FinTech players in Germany that are poised to scale-up and one should watch out for:
BATS Global Markets was founded in 2005 and has raised $45 million in total funding. It is an operator of exchanges and services for financial markets. The Chicago Board Options Exchange acquired BATS Global in September 2016.
Kreditech was founded in 2012 and has raised $281.6 million in total funding. Kreditech offers credit scoring and online financial services to users by leveraging big data. It fuses big data with complex machine-learning algorithms to underwrite and create digital banking services for the unscored worldwide. It further offers personalized financial products that are tailored to the customer’s needs.
N26 was founded in 2013 and has raised $515 million in total funding. N26 (formerly known as Number26) is a product of Papayer GmbH. It is a licensed German mobile-only bank that offers mobile banking services to consumers. The bank targets freelancers and self-employed people. It provides a free checking account along with Mastercard and a smartphone application that enables users to manage their finances in real time.
Compeon was founded in 2012 and has raised $18.6 million in total funding. Compeon is a finance portal for the SMEs, which offers financing, investments, and leasing for companies and self-employed professionals.
Smava was founded in 2005 and has raised $133 million in total funding. Smava is a Germany-based online comparison site for personal loans, on which each participant receives an online credit loan with the best terms from a wide selection.
SolarisBank was founded in 2016 and has raised $111 million in total funding. SolarisBank is a tech company with a German banking license. The company has built an API-accessible banking platform for the needs of the digital economy. The Solaris platform enables digital companies to create custom solutions for their financial needs. It offers services such as payment services for marketplaces, issuing vouchers, e-money, and escrow solutions; banking services for a suite of banking services through RESTful APIs, including support for account creation & maintenance; transaction services; as well as deposit & credit business. Add-On Services: AML/KYC-compliant identification.
wefox, formerly known as FinanceFox, was founded in 2014 and has raised $158 million in total funding. It is an online platform that allows customers, brokers, and insurance companies to manage their insurance products digitally. The company focuses on customer value and optimizes the entire process from digitization through optimization to damage reporting.
Spotcap was founded in 2014 and has raised $92.3 million in total funding. Spotcap is an online platform that enables small-business owners to grow their business by providing flexible and accessible financing. The platform has developed a sophisticated and dynamic decision process assessing the real-time performance of businesses to grant short-term credit lines and loans. The company is backed by Rocket Internet.
Raisin was founded in 2013 and has raised $200 million in total funding. Raisin (formerly known as Saving Global) is an online marketplace for term deposits. It enables customers to conveniently access term deposit products from partner banks across Europe and secure better interest rates. The customer has to open an account with their partner bank Keytrade Bank. Once the account validation is completed, the customer can browse through different term deposit options.
simplesurance was founded in 2012 and has raised $60 million in total funding. The company is one of the largest e-commerce providers of insurance products and aims to continuously explore new ways to drive the digital revolution of the insurance industry. The company has a base of around 2,000+ partners, such as OnePlus, Huawei Technologies, Rakuten, and Revolut, which are using its solutions.
Payleven was founded in 2012 and has raised $51 million in total funding. Payleven was acquired by SumUp in April 2016. The company offers a mobile app and Bluetooth-enabled wireless card reader that connects with iOS or Android smartphones or tablets to accept credit and debit card payments. The device connects to the phone’s internet connection to complete the transaction over Payleven’s servers. In 2016, the company was announced to merge with SumUp.
ottonova was founded in 2014 and has raised $54.7 million in total funding. ottonova is developing a digital health insurance platform for people in Germany. Currently, the company is waiting for regulatory approval from the Financial Supervisory Authority. (June 2017)
finleap was founded in 2014 and has raised $112 million in total funding. finleap is a FinTech company builder based in Berlin. finleap is active in more than 10 countries. Together with their passionate co-founders, finleap launches several startups per year. finleap provides up to five million euros in seed funding, access to a strong investor network & top talent, an integrated development platform, and best practice processes.
Clark was founded in 2015 and has raised $45 million in total funding. Clark is an insurance platform providing transparent, cheap, and comprehensive insurance coverage. Clark offers users simple, fair, and customer-centric insurance advice.
Coya was founded in 2016 and has raised $40 million in total funding. Coya is developing digital property and accident insurance policies for individuals. Currently, it has filed an application with German financial regulator BaFin to become a licensed insurance provider.
FINANZCHECK.de was founded in 2010 and has raised $37.5 million in total funding. FINANZCHECK.de is an online portal that allows users to search and compare various financial products. It caters to inquiries about credit installment loans, auto loans, and refinancing loans are in addition to the online credit consultation on request. In July 2018, the company was acquired by Scout24.
orderbird was founded in 2011 and has raised $37.1 million in total funding. orderbird provides iPad POS systems that facilitate reporting functions. The iPad POS system is placed in bars, restaurants, and clubs. The cash register system can be individualized according to user needs.
relayr was founded in 2013, which makes sensors that monitor industrial equipment to gather data or predict when machines will need maintenance, along with software and consulting services to help enterprise customers use them. It provides a device, hardware, and sensor-agnostic enterprise middleware platform and simple-to-use tools which enable fast and cost-effective development of new solutions, equipment, and services for the Internet of Things. In 2018, the company was acquired by Munich Reinsurance.
Deposit Solutions was founded in 2011 and has raised $144 million in total funding. Deposit Solutions is a financial service firm. It is revolutionizing the value chain for savers and banks. It is an open architecture platform that allows banks to gather retail deposits onto the home balance sheet without requiring a proprietary local retail infrastructure.
auxmoney was founded in 2007 and has raised $28 million in total funding. auxmoney is an online peer-to-peer loan marketplace. It brings private borrowers and private investors together and, in cooperation with the credit-worthwhile SWK Bank, handles credit processing.
Stocard was founded in 2012 and has raised $25 million in total funding. Stocard offers a mobile app that enables users to store and manage all their loyalty cards in one place. It allows users to scan cards using their phone’s camera, thereby creating a digital wallet without the intervention of retailers.
eBillme was founded in 2004 and has raised $23 million in total funding. eBillme is an online payments solution which extends online banking to the merchant’s checkout process. The company was acquired by Western Union in 2011; Western Union launched WU Pay once the acquisition was complete. WU Pay allows consumers to pay for goods online by using consumer bank’s online bill pay service (similar to the way they pay a utility or credit card bill), or at a Western Union location in the US.
AEVI was founded in 2015 and has raised $45 million in total funding. AEVI provides a global gateway for secure payment transactions together with a marketplace for high-quality, value-added apps, and services (VAAS) providing new business opportunities beyond payments, which enables fast and effective innovation, in addition to enhanced control and flexibility. AEVI International GmbH operates as a subsidiary of Wincor Nixdorf Ag.
Lendico was founded in 2013 and has raised $22 million in total funding. The company offers an online P2P lending marketplace for individual borrowers & SMEs, which allows retail investors to invest on the platform. In 2017, the company was acquired by Arrowgrass Capital.
Traxpay was founded in 2012 and has raised $19 million in total funding. Traxpay offers a platform that facilitates 24/7 B2B payments and transactions in real time.
Fraugster was founded in 2014 and has raised $19 million in total funding. Fraugster offers an artificial intelligence & behavioral analytics platform for online payments. It helps its users to protect against fraud and increase customers profits.
Seerene was founded in 2011 and has raised $19 million in total funding. Seerene provides a SaaS-based platform designed to analyze real-time data already existing in the company for enterprises and IT services companies.
Payworks was founded in 2012 and has raised $19 million in total funding. Payworks develops a point-of-sale payment gateway technology. It offers a new gateway technology called Pulse, which can be integrated with POS readers and offer readymade mPOS solutions. With Pulse, developers of point-of-sale solutions merchants can quickly and cost-efficiently integrate card payment functionality into the applications, and securely process EMV, contactless, and mobile wallet transactions at the point-of-sale.
KONUX was founded in 2014 and has raised more than $50 million in total funding. KONUX provides industrial Internet of Things (IoT) solutions that integrate smart sensor systems and AI-based analytics. It enables customers to know their assets’ performance in real time and switch to predictive maintenance.
PAYMILL was founded in 2012 and has raised $18 million in total funding. PAYMILL is a payment solution platform that enables online businesses to accept payments on their websites within a very short time. The API gives you full control of checkout so it can deliver a user experience optimized for higher conversions. In 2016, the company was acquired by Klik & Pay.
Exporo was founded in 2014 and has raised $18.5 million in total funding. Exporo is a crowd investing platform that grants everyone access to professional and attractive real estate projects.
Klara was founded in 2013 and has raised $17 million in total funding. Klara offers a communication platform for healthcare providers. The HIPAA-compliant platform allows various departments of a particular healthcare provider to communicate securely about patient diagnosis and treatment. The medical professionals can directly communicate with a patient regarding treatments and appointments.
Zeitgold was founded in 2015 and has raised $27.5 million in total funding. Zeitgold provides AI-enabled services that automate bookkeeping, payroll, and other financial functions for businesses, local merchants, etc. It uses automation technology & optimized processes to capture all of the financial data and turn it into a complete, structured, high-quality, and up-to-date data set of the business.
FinCompare was founded in 2016 and has raised $15.5 million in total funding. FinCompare is a financing platform for small-and-medium-sized enterprises. It provides access to up-to-date financing products so that a user can compare and select the most suitable financing tool. It offers various types of financial solutions to SMEs like single account receivable, factoring, credit, leasing, inventory financing, and purchase financing.
CrossLend was founded in 2014 and has raised $16.3 million in total funding. CrossLend is a cross-border marketplace lending platform that facilitates investors to invest in consumer loans from different European countries via bonds and notes in euros. The company aims to connect investors from low-interest-rate countries with borrowers from high-interest-rate countries across Europe.
Friendsurance was founded in 2010 and has raised $15.3 million in total funding. Friendsurance is an online P2P insurance platform where people come together online and create their own risk pools. Friendsurance offers electronics, household, personal-liability, and legal expenses insurance.
Taxfix was founded in 2016 and has raised $43 million in total funding. Taxfix is a mobile application that lets users file their taxes. It has a chat platform to answer users’ questions.
Gastrofix was founded in 2011 and has raised $17 million in total funding. Gastrofix has developed a cloud-based, point-of-sale (POS) system for the Apple iPad and iPod. The cash register covers the whole hospitality industry from restaurants, cafes, bars, and bakeries to franchise chains.
The NAGA Group was founded in 2015 and has raised $14.6 million in total funding. The NAGA Group provides various financial services as well as develops and backs innovative solutions in the FinTech sector. It provides an app called SwipeStox, which is a social trading platform.
nextmarkets was founded in 2014 and has raised $13.9 million in total funding. nextmarkets offers a mobile app that enables users to follow stock market professionals and their analysis for various financial instruments like equities, indices, foreign exchange, bonds, and commodities. The platform analyzes over 1,000 markets offers real-time trading insights and ideas through a web or mobile platform.
Wirecard was founded in 1999 and is a software & IT specialist for outsourcing and white-label solutions for payment processing and issuing products. The Wirecard API is offered as an option for integration in its e-commerce payment processing service. Its products in the payment sector include checkout page, credit card processing, tokenization, POS terminals, etc. In mobile payments category, it provides mPOS card readers, API for in-app checkout, Bluetooth Low Energy (BLE) smart payments, and an NFC-based mobile wallet.
Derivix was founded in 2005 and has raised $12.7 million in total funding. Derivix was acquired by FlexTrade Systems. Derivix is a financial services software company that provides options pricing, risk visualization, and analytics solutions to options traders, sales traders, and hedge funds.
Finanzchef24 was founded in 2012 and has raised $12.6 million in total funding. Finanzchef24 is a Munich, Germany-based online marketplace for comparing commercial insurance products. It provides online brokerage service and comparison portal for SMEs offering insurance & finance comparisons and policies underwritten by Allianz, AXA, ERGO, etc.
Treasury Intelligence Solutions was founded in 2010 and has raised $12 million in total funding. Treasury Intelligence Solutions is a cloud-based SaaS platform. It provides bank account management, payments, business discovery, cash flow, ERP integration & certification solutions for treasurers, CFOs, and firms in the accounting and the IT industry.
Correlix was founded in 2006 and was acquired by TS-Associates on July 30, 2012. Correlix offers real-time latency intelligence monitoring software to capital markets firms to identify and manage latency impediments to trade opportunities and discover ways to optimize their transaction infrastructure efficiently.