Mifundo, a fintech startup based by the previous CEO of Estonian digital financial institution Bigbank, has raised €1.2 million in pre-seed funding to construct a platform that can allow individuals to use for loans from banks throughout the European Union.
Mifundo founder and CEO Kaido Saar says: “Our imaginative and prescient is to show your complete European Union into one credit score market. We turn out to be a bridge between individuals and banks. With the assist of the included funding, the corporate will proceed to meet its imaginative and prescient. We are able to develop the product and convey it to the market.”
The pre-seed funding was led by Opus11 VC whose core crew is fashioned by the individuals from Trigon Capital and founders of Fractory. Angel traders embrace Jüri Laur from LHV Financial institution and Kaido Kepp from Iizi Kindlustusmaakler. The mission has additionally been supported by the European Union by means of the European Regional Growth Fund and EAS.
Says Sar: “Mifundo’s service solves a number of issues without delay. Firstly, individuals could have the chance to speak with banks throughout Europe, no matter the place they geographically dwell. Additionally the massive distinction in rates of interest between nations has created a really unequal state of affairs for individuals, relying on their nationality. For instance, if the typical shopper mortgage rate of interest in Estonia at this time is 12%, in Finland it’s twice as low and stays on common at 6%, whereas in Sweden it’s lower than 4% and in Luxembourg even 2%. Secondly, banks could have the chance to enter new markets and take a look at the enterprise mannequin with out making giant investments.”