in3 raises €10 million in funding

Dutch fintech company in3 has raised 10 million euros in funding. According to the company’s announcement today, the growth capital is intended to drive product growth and improvement, as well as enable faster staff growth in merchant and customer service. The fintech has also announced a partnership with Worldline.

The Dutch fintech company in3 was established in 2018, as an alternative for other ‘buy now, pay later’ solutions. The founders were working for Capayable at the time and already had knowledge about the market. “It quickly became a crowded market so we stood back and took a fresh look at the BNPL model and saw several limitations in all of the available products”, says Hans Langenhuizen, CEO at in3.

€10 million from Finch Capital

According to a press release, in3 has achieved an annual growth in turnover of 300 percent since 2018. To drive further growth, it held a Series A financing round and today announced that it raised 10 million euros. The investment was made by Finch Capital, an investor focusing on fintech companies.

‘Since 2018, in3 has achieved an annual growth in turnover of 300%.’

With the capital injection, in3 wants to grow its team and improve the technology of its existing product. It will primarily invest in staff growth in merchant and customer service. In addition, the company has international ambitions that will undoubtedly be higher on the agenda after this round.

Possibilities in3

With most BNPL solutions, a well-known condition is a payment term of 14 days. And often, BNPL solutions are only available with low spending limits. “We noticed a demand to pay larger expenses in installments. But paying in installments has even more disadvantages for consumers, such as high interest rates and being documented in the national credit register. These products benefit from people who cannot afford to buy at one time. This is not sustainable from our business perspective.”

‘The buyer goes for the more expensive product more often.’

With in3, consumers can pay interest-free in 3 installments within 60 days, with payments ranging from 100 to 3.000 euros. Due to the 60-day period, consumers won’t be documented in the national credit register. “Our merchants profit from in3 in their checkout as well: it results in a substantial increase in transactions and importantly, a higher average transaction value. We notice that the buyer more often goes for the more expensive product.”

Partnership with Worldline

The partnership with Worldline that was announced today will provide in3 with the technology to offer both online and offline merchants BNPL solutions to their customers without additional integrations. “We look forward to working with Wordline’s team and customers. This is testament to the robust platform of in3 and our dedicated team to create seamless integrations with all our partners.”