The raise puts an $18 million valuation on the two-year-old fintech.
Image source: Ryan Edwards-Pritchard/Cape.
Australian spend management platform and credit provider Cape raised $3.1m in equity and secured a $30m credit facility in its latest funding round.
The capital raise was led by Investible, Scalare Partners, Mercury Capital and 15 other business angels, while the debt came from Aura Ventures.
Cape came out stealth in September 2020, founded by CEO Ryan Edwards-Pritchard, the former managing director of Funding Options in the UK.
Today, the fintech has 18 employees and Edwards-Pritchard said the extra money will now be used to double its workforce with a particular focus on engineers and product specialists.
Currently, Cape offers its SME customers a payment card with limits of up to $100,000 based on creditworthiness, using open banking provided by Basiq to make credit decisions.
Last year, Cape hired Tanya Ward from credit provider Pepper Money as its first chief financial officer, and earlier this year hired Julian Guppy from alternative lender Capital On Tap as chief technology officer.
The fintech hopes to tap Australia’s $2.1m-strong SME market with its now open bank credit card.
Cape’s soon-to-be-launched card will allow businesses to manage cash flow through live file management, access buy-it-now and pay-later financing, and make income-based reimbursements .