Teylor and iwoca Announce Partnership

Teylor and iwoca, the two leading SME lending platforms in the DACH region, are optimizing access for SMEs to their complementary financing offerings through a partnership.
Teylor primarily finances medium-sized and larger loan amounts while iwoca focuses on smaller tickets. By seamlessly brokering financing requests via an API integration, both fintechs can now jointly cover the entire SME spectrum.
Both fintechs have recently been able to consolidate their market positions and establish themselves as the leading providers in their different market segments. With this partnership, Teylor and iwoca are responding to the growing demand for credit from German SMEs.

Frankfurt, 04th July, 2024 - The Swiss fintech Teylor and the German-British fintech iwoca aim to meet the growing capital requirements of small and medium-sized enterprises (SMEs) in Germany with fast and uncomplicated online financing. Both fintechs offer complementary financing products: While iwoca focuses on smaller loan amounts from EUR 1,000 to EUR 500,000, Teylor primarily finances requests from EUR 50,000 to EUR 1.5 million and, thanks to the acquisition of the Frankfurt-based financing platform creditshelf, can now also provide financing in the multi-million euro range. This means that iwoca and Teylor can jointly provide the entire SME spectrum with comprehensive financing, from unsecured corporate loans to complex asset-backed financing and alternative financing such as factoring and leasing.

Intensified cooperation due to increasing demand for SME loans

According to the German development bank KfW, demand for credit from German SMEs rose by 1.5 percentage points in the first quarter of 2024. The reasons for this are slightly falling lending rates - after a long phase of rising interest rates - and a beginning economic recovery. Teylor and iwoca are meeting this rising credit demand with their broad range of financing options.

Having already cooperated successfully in the past, the two fintechs are now going one step further: The new cooperation includes the brokering of financing requests via an API integration. Teylor and iwoca are thus planning to serve loan requests in an even more targeted manner and further reduce processing times.

Patrick Stäuble, Founder and CEO of Teylor, explains: "The demand for credit from SMEs is rising again, but traditional banks continue to be more restrictive in their lending compared to the past. As alternative credit providers, Teylor and iwoca offer more flexibility and can present SMEs a financing offer much faster. We can do everything the house bank can do, but faster and less complicated."

Fabian Platzen, General Manager at iwoca Germany, says: "SMEs are increasingly demanding easy access to financing offers such as digital business loans. Banks are only meeting this demand to a very limited extent. The partnership with Teylor enables us to serve all segments of the SME lending market with a comprehensive product offering. The continuously increasing demand for our financing solutions shows that our offering is well received in the market."

Market for alternative financing consolidates: Teylor and iwoca strengthened

Teylor and iwoca emerged as the winners from the recent wave of consolidation in the alternative financing market and are now by far the leading fintech credit providers in the DACH region. The financing platform creditshelf, which was acquired by Teylor in April 2024, was previously the market leader among German SME lending platforms for many years.

Both companies are pursuing an intensive growth strategy and are leveraging the synergies of their respective platforms as part of their partnership in order to gain further market share. Both fintechs have recently secured substantial funding for lending in the German market: Teylor received €275 million last year, including from Barclays and M&G Investments. iwoca recently secured €175 million from Citi Group and Insight Investment specifically for SME lending in Germany.

Press contact

Lukas Hofer
press@teylor.com