Fairbanc secures financing from ADB, Accion, East Ventures and Sampoerna to increase Indonesian micro-merchants’ access to integrated credit products

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Jakarta, Indonesia and SINGAPORE, June 29, 2021 / PRNewswire / – Fairbanc announced it had raised an undisclosed seven-figure investment in a pre-Series A of ADB Ventures, the venture capital arm of the Asian Development Bank, Accion Venture Lab, Eastern companies, Sampoerna Strategic Group and others. This new financial support follows recent investments by 500 Startups and Indonesian billionaire Michael Sampoerna. This funding will allow Fairbanc to expand access to credit for indonesia small retailers, many of whom have difficulty accessing working capital.

The World Bank estimates indonesia micro, small and medium enterprises (MSMEs) have a 166 billion dollars unmet need for credit. Fairbanc is partnering with leading fast moving consumer goods (FMCG) companies to offer a “pay later” option through its AI-based credit scoring that enables instant microcredit decisions. Loans help unbanked and underbanked merchants to increase their income by allowing them to increase their stocks.

According to the founder and CEO of Fairbanc Mir Haque, “What makes Fairbanc so unique compared to other fintechs is that it connects with major consumer brands like Unilever’s extensive merchant networks to offer ‘Buy Now, Pay Later’ credit to tens of thousands of retailers without the need for loaner apps or smartphones. System Integration into Consumer Brands Distribution Application allows Fairbanc to access merchant order and payment history, enabling Fairbanc to use advanced data science and machine learning to guarantee credit and increase merchant sales while keeping defaults and operating costs very low. ”

Since the inception of Fairbanc in 2019, the startup has partnered with major consumer firms, including Unilever, L’Oréal and Danone, to help MSMEs increase sales by over 35% while limiting NPLs. close to zero.

“Fairbanc strengthens and preserves the future of the many unbanked grocers who distribute Unilever products, a large percentage of whom are women,” said Francisca Ho, Head of Customer Development Funding at Unilever Indonesia. Fairbanc’s financial inclusion mission “is aligned with Unilever’s goal of improving the livelihoods of millions of people as we grow our business.”

With nearly 60,000 merchants in its network, Fairbanc will deploy the new investment to expand its distribution partners and strengthen its sales and technology teams. The company is also developing a product recommendation system with new features, including timely alerts to help traders plan their stocks ahead of weather events, for which Indonesia is at high risk.

“Fairbanc has shown us that it has what it takes to close the funding gap for indonesia many small retailers, ”said Daniel hersson, Senior Fund Manager at ADB Ventures. “The company’s inventory funding and experienced leadership set it apart from a crowded fintech marketplace and make Fairbanc an important ally in our mission to accelerate financial inclusion and support climate resilience in the global marketplace. Asia Pacific Region.”

“The pandemic is far from over in Indonesia, and micro-traders are particularly vulnerable to its economic impact. Fairbanc fills a critical gap in access to credit for these entrepreneurs, helping them keep their stores open and maintain their livelihoods, ”said Michael schlein, President and CEO of Accion.

“By integrating their product into existing partner channels, Fairbanc is able to provide micro-merchants with seamless access to much-needed inventory finance solutions. Fairbanc’s work aligns strongly with our mission of supporting inclusive fintechs, and we look forward to working with the team to reach more micro and small businesses across Indonesia,” mentionned Paolo limcaoco, Head of Investments in South East Asia at Accion Venture Lab.

“Supporting Fairbanc is part of our mission to bring financial inclusion to millions of unbanked merchants in Indonesia. We believe Fairbanc is a strong addition to accelerate the adaptation of supply chain finance in South East Asia,” mentionned Melisa Irene, partner of East Ventures.

The CEO of Fairbanc is Mir Haque, who previously held positions at McKinsey & Company, Deutsche Bank and Adobe, and its CTO is Kevin o’brien, formerly CTO of the Kiva micro-credit platform. The chief operating officer of the company is Siswanto Hadiprayitno, who has over twenty years of sales and management experience at Indonesiabased companies including Unilever Indonesia, Mead Johnson Indonesia and Tiga Raksa Satria.

Media contact

Mir Haque: [email protected]
Phone number: + 1-917-463-7582

SOURCE Fairbanc


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