Investors are offered to invest in invoice backed short-term loans.
 
From today, February 4, marketplace platform Mintos will offer to its investors an opportunity to invest in AS Capitalia loans that are backed by issued but yet unpaid invoices. This enables to invest in invoices that small and medium sized companies have issued to largest enterprises in the Baltic States.
 
“Expanded cooperation with Mintos will allow investors even further investment opportunities, while small and medium sized enterprises in the Baltic States will gain cheaper and more accessible financing. Loans against invoices or invoice purchasing is a new service by AS Capitalia that has rapidly gained popularity and interest from our clients. While loans issued by AS Capitalia have provided active interest from Mintos investors with over 1.3m EUR of total investment in loans issued by our company” comments Juris Grišins, manager of AS Capitalia.
 
“On average three out of four SMEs in the Baltic States identify that timely payment of invoices is critical for daily cash flow management and unhindered development of the business. We are very pleased that over 4000 investors that have registered in our platform will have the opportunity to invest in invoice backed loans of AS Capitalia, thus also making business financing to SMEs even more accessible” explains Mārtiņš Šulte, manager of marketplace platform Mintos .
 
Invoice purchasing allows companies to sell their issued invoices and receive payment for such invoices instantly without having to wait for payment term of 30 or even 90 days. For small and medium sized businesses that allows to free up working capital and use it for the development of the business. For example, actively this financing product is used by manufacturing and wholesale companies that offer their goods to such retail chains as Rimi and Maxima.
 
Although invoice purchasing product has been launched by AS Capitalia only just 3 months ago, it has been already used by over 30 companies in Latvia and Lithuania, selling invoices of over 1m EUR.
 
AS Capitalia finances 90% of the unpaid invoice amount. Average sum of invoices greatly varies between 1,000 EUR and 20,000 EUR. All loans that are put forward in Mintos platform have been pre-financed, hence investors can start earning from the moment of investment.
 
About AS Capitalia
AS Capitalia, represented in NASDAQ Riga, is the leading lender to small and medium size enterprises in the Baltic States. Since foundation in 2007 Capitalia has financed more than 500 companies in Latvia, Lithuania and Estonia.