French challenger bank Qonto raises €104M to make easy business banking a reality

Qonto, a neobank for SME’s and freelancers founded in 2016 by Steve Anavi and Alexandre Prot, has raised $115 million (approx €103.5 million) in a Series C funding round. 

The round was funded by new investors Tencent and DST Global, as well as existing investors Valar and VC Alven, plus two new business angels Taavet Hinrikus (TransferWise’s co-founder/chairman) and Ingo Uytdehaage (CFO at Adyen). The total amount of funds raised since the company was founded in April 2016 is $152 million (approx €137 million). 

Aims to attract SME’s

With this investment, the company is planning to extend its leading market position in France while accelerating growth in the three new markets launched in 2019: Italy, Spain, and Germany. 

The funding will help Qonto grow its business and attract new small and medium businesses while also strengthening the product, including making more adaptations to local customer needs.

Born out of frustration!

Qonto was born out of the frustration of its two co-founders (Alexandre Prot and Steve Anavi), who previously co-founded the first company together. 

They were looking for a bank that would address their needs: transparency, great customer service, and connection to their day-to-day business management tools. For lack of finding such a service, they started Qonto.

Combines design and innovative technology! 

Based out of Paris, Qonto combines design and innovative technology, providing financial services to businesses. Since its launch in July 2017, Qonto has attracted 65,000 SMEs in France, Italy, Spain, and Germany. 

In the past quarter, the number of business customers doubled in the three new markets opened in 2019. Transaction volume exceeded 10 billion euros in 2019, with revenue quadrupling compared to 2018.

Alexandre Prot and Steve Anavi, co-founders of Qonto, said:

“We are honoured to be supported by leading global investors who have backed the most successful companies that have revolutionized their industries. Also, having two great entrepreneurs who have successfully scaled European businesses into global champions is a valuable support to our ambition to accelerate our growth and become the best everyday banking service for small and medium businesses in Europe.”

Main image credits: Qonto

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