DEBIFO entered into the agreement with a leading credit trade insurer Atradius to provide portfolio coverage from purchasers’ invoice non-payments and bankruptcy. The provided trade credit insurance reduces the invoice financing risk profile as it strips out credit risk part from the overall risk profile.
“Atradius trade credit insurance will benefit both our clients and investors. Our clients can now insure their invoices while using our invoice financing solutions to protect themselves from the risk of not being paid on time. Whereas Mintos investors will now be able to invest in invoices with reduced credit risk.” – said Justas Šaltinis, CEO of DEBIFO.
Netherlands-based Atradius is the second largest global credit insurance provider with operations in more than 50 countries around the world and total revenue of more than EUR 1.8 billion. Atradius trade credit insurance is a risk management tool that protects clients’ accounts receivable or invoices from loss in the events such as protracted default, insolvency or bankruptcy.
Founded in 2015, Lithuania-based DEBIFO is an invoice financing platform that enables growth SMEs to borrow from institutional and retail investors. DEBIFO has an active invoice portfolio of EUR 6.5 million, helped more than 285 SMEs fund EUR 50 million in total.
In the first half of 2018, the number of DEBIFO clients grew by 32%, revenue increased by 50% and actively managed invoice portfolio increased by 85%. The portfolio structure remained very similar to the last year – trade, transport, manufacturing and employment sectors accounted for the largest share of the portfolio.
DEBIFO has won the award of the financial service of the year in the Service of the Year competition organised by the Lithuanian Business Confederation (LBC). The company has also been mentioned among 5 most promising financial sector start-ups in the prestigious business publication Forbes. DEBIFO has also been recognised as the TOP Company in the assessment of business credibility implemented by Rekvizitai.