276 Holdings , a fintech startup specializing in small and medium-sized enterprise funding solutions, announced on the 31st that it had attracted investment from Korea Investment Accelerator, an early investment organization under Korea Investment Holdings, for its first Series A round. The investment amount was undisclosed.
276 Holdings provides various funding solutions utilizing accounts receivable to small and medium-sized enterprises that are experiencing difficulties in production and distribution due to financial difficulties or need to create a buffer for cash flow. Up to now, it has handled approximately KRW 670 billion in accounts receivable for small and medium-sized enterprises from approximately 1,070 companies through its online platform.
Following the Flow Point service, which supports the securitization of accounts receivable through electronic document issuance, detailed management, and transfer agency functions for existing accounts receivable, the company launched Flow Pay, a B2B raw materials BNPL service, last year, recording sales of KRW 4.2 billion, an increase of approximately 400% over the previous year.
Nam Woo-hyun, team leader at Korea Investment Accelerator, which carried out this investment, said, “There has been a huge unmet demand in the area of SME fund liquidity services,” and added, “We expect that by utilizing 276 Holdings’ exclusive data pipeline and the know-how accumulated through business in similar areas, we will be able to realize inclusive finance through the advancement of credit rating models in the future.”
Shin In-geun, CEO of 276 Holdings, said, “We confirmed the possibility and growth potential of the new service through market verification until last year.” He added, “Based on the investment attraction this year, we plan to firmly establish ourselves as a new alternative solution for small and medium-sized businesses that are in a dead end situation due to the lack of funding sources other than institutions and financial institutions.”
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