SpotCap Small Business Loans Review

This review of SpotCap will help you to make the right decision and understand who SpotCap are – who controls SpotCap, what they suggest to you as a lender, how they are unique and differ themselves from their competition and what they look for in a prospective borrower. Read the following SpotCap review to find out more.

SpotCap Review in Numbers

Australian Business Number (ABN): 71 602 957 237
Australian Credit License: None listed on Website
Loan amount: from $10,000 – $200,000
Loan term: from 1 months – 12 months
Unsecured Loans Offered? Yes
Easy Online Application: Yes
Response Normally Within: 24 Hours
Documents Required to Apply: BAS for the last 4 quarters, financial statements for the last 2 years, tax returns for individuals for the last two years (if you are a sole trader/partnership), trust deed (only for trusts).
Requirements to Apply: Operating for at least 12 months, $200,000 turnover in the past 12 months, trading for at least 18 months.
Minimal Interest Rates: Fixed interest rates based on your financials.
General Feedback from Clients Online: SpotCap is still a fairly new company (only a few years old) and has limited online reviews. However, the reviews that do exist online are generally positive and state that SpotCap is a professional and fast-working company to borrow from.
Awards and Recognition: None listed.
Website Address: https://www.spotcap.com.au

Short Summary:

SpotCap is a strong lender with great reviews which is mostly aimed at established businesses with sales of more than 200,000 dollars a year. It requires more information than other lenders to provide a loan, but it’s speedy in making decisions and it’s worthwhile to try and apply to a loan there.

 

Company Story

Spotcap is an innovative online lender for small and medium-sized businesses. The company was founded in 2014 by entrepreneurs Jens Wolosczak and Toby Triebel in partnership with Rocket Internet.

SpotCap Logo

The company is currently led by founder and CEO Dr Jens Woloszczak and headquartered in Berlin but operates across Europe in Spain, the Netherlands, the UK, Australia, and as of late, in New Zealand.

As of June 2018, Spotcap employs around 200 people and is headquartered in Berlin, Germany.

Spotcap operates as a direct lender to small and medium-sized enterprises (SMEs) in the United Kingdom, the Netherlands, Spain, Australia and New Zealand where the company offers businesses access to flexible finance.

The Funding Rounds

 Since 2014, the company has conducted 6 funding rounds and has raised a total of US$113 million from multiple investors based in Russia, Israel and Europe.

  • In 2014, Spotcap raised €13 million from a group of investors led by billionaire Len Blavatnik’s Access Industries.
  • In 2015, Spotcap received €5 million in debt financing from Kreos Capital, a European growth debt firm that provides financing solutions for high-growth companies across Europe and Israel.
  • The following year, Spotcap reinforced its capital line with €31.5 million in new funding. It was the company’s third funding round in the space of 18 months and was led by Russian private equity firm, Finstar Financial Group, with participation from previous investor Holtzbrinck Ventures.
  • Less than 6 months later in June 2016, Spotcap announced a €14 million funding round taking its 2016 total to €45.5 million. The lender said the additional funds would be specifically designated for the Dutch market and said it expected to provide €50 million in credit to Dutch companies on an annual basis.
  • In January of 2018, it raised A$20 million from Heartland Bank, a New-Zealand-based community bank located in central Ohio in the United States which provides a variety of financial services in the US. The investment round also coincided with Spotcap opening its first office in Auckland, New Zealand. In October 2017, it raised €22 million from its existing investors.

To date, Spotcap has issued around €150 million in credit to SMEs and works with more than 10,000 intermediaries in its distribution network. Late last year, Spotcap Jens Woloszczak said that 60% of Spotcap’s loan book can be attributed to its global partner network.

Recent News / Partnerships

Earlier this year, Spotcap partnered with BAWAG Group, a significant Austrian bank.

BAWAG Group AG is the listed holding company of BAWAG P.S.K., which is headquartered in Vienna, Austria, with the main banking subsidiaries easybank and start:bausparkasse in Austria and Südwestbank in Germany. With more than 2.5 million customers, BAWAG P.S.K. is one of Austria’s largest banks operating under a well-recognised national brand.

The two companies said that their market-leading strategic partnership would give Austrian SMEs access to same-day financing and capital lines that could help businesses obtain capital that’s crucial for growth and expansion.

BAWAG P.S.K.’s new lending service will be powered by Spotcap and its cutting-edge platform, allowing the bank to offer a fully digital and automated solution for same-day finance to its SME customers.

The partnership with BAWAG is the first time Spotcap will offer its lending platform and proprietary analytics to a bank and marks the launch of its “Lending-as-a-Service” proposition. The partnership began with a focused launch for existing BAWAG P.S.K. customers in Q1 2018, before becoming available to all Austrian SMEs over the course of this year.

Short-term money lending is a capital-intensive business model which tends to mean that if a lender is raising capital, it is usually because its activities are growing in scale thereby requiring additional capital funding to accommodate growing client numbers.

SpotCap’s Online Platform

Spotcap’s online application is straightforward and can be completed in as little as five minutes, either online or in collaboration with a financial advisor, broker or accountant.

The company claims to operate a “full-service lending platform” and works with leading institutions to provide their SME clients with an efficient and straightforward lending experience.

SpotCap Client Reviews

– TrustPilot Australia: : 49 Reviews, 82% Excellent, 14% Great, 4% Bad, 8.9 / 10 Total Score (Great)
– SpotCap Global’s Facebook: 11 Review, 11 Positive, 5 / 5 Total Score

Analysis of Client Reviews:

SpotCap is still fairly new on the lending market, but their reviews are generally positive. Negative reviews that exist online address their strict application requirements (and the fact that they take careful stock of your negative financials). Positive reviews state that the lending and application process are both easy, that customer service is excellent, and that they are a professional and efficient company to work with.

 

SpotCap Loan Compatibility

  • Startup: No, SpotCap requires that you’ve been trading for 18 months.
  • Bad credit: No, SpotCap requires financial records.
  • Sole trader: Yes, SpotCap works with sole traders.
  • Established business: Yes, SpotCap accepts established businesses.
  • Turnover: SpotCap does require at least $200,000/year turnover.