Swedish fintechs Juni and Froda have formed an embedded finance partnership to address access to finance for Europe’s 25 million SMEs.
The partnership will see Juni integrate Froda’s technical platform and be able to utilise Froda’s capital pool.
Juni will join ‘Froda Embedded’, which is a technology platform launched in 2021, where partners can either integrate Froda’s services and offer them to their customers, or use Froda’s funding to build their own financing solutions.
The new collaboration means that, initially, Froda becomes a financing partner, allowing Juni to dip into Froda’s capital pool for its services through embedded financing.
Neobank Juni, founded in 2020, provides businesses with modern banking solutions, spend management, financing and accounting on one platform and app, and has plans to apply for a bank license to further expand.
Olle Lundin, chief executive officer and co-founder of Froda, said: “The journey Juni has taken and how far they’ve come in such a short time is truly impressive.
“I’ve followed the company since its inception, so it’s especially exciting that they have chosen Froda Embedded to continue scaling, and that Froda can be a part of their growth journey.”
Froda, which has expanded to the Nordics, the UK, Germany and Ireland, claimed its license makes it easy for partners to both increase lending and scale at pace across Europe.
According to Samir El-Sabini, Juni’s chief executive officer and co-founder, Froda’s license and expertise in SME lending makes it “the perfect partner”.
“We wanted a partner that, like us, has a focus on modern solutions and technology. Through our partnership, we will be able to scale faster internationally and support more businesses,” he added.
Main image L-R: Samir El-Sabini (Juni) and Olle Lundin (Froda)
