UniCredit has invested €10 million in Berlin-based lending-as-a-service provider and embedded lending platform Banxware, which targets small and medium-sized enterprises (SMEs).

Founded in 2020, Banxware offers instant business loans ranging from €1,000 to €5 million, aiming to help SMEs access capital rapidly.

The company stated that the capital injection will support the scaling of its operations and the enhancement of its automated lending solutions across Europe. As part of this expansion, Banxware announced a shift in its business model from structured financing to a forward flow approach.

Previously operating under a warehouse model—using its own capital to finance loans—Banxware will now transition to a structure in which banks like UniCredit fully fund the loans. This shift enables Banxware to concentrate on optimising its technology and expanding into new markets.

According to the company, UniCredit’s investment will be used to refine Banxware’s middleware infrastructure for SME lending. The firm also plans to invest in user experience, platform integrations, and artificial intelligence-driven underwriting to make financing more accessible for businesses.

The investment follows the establishment of a lending platform partnership with Aion and Vodeno the banking-as-a-service (BaaS) platform recently acquired by UniCredit, aimed at strengthening its automated SME lending capabilities.

Banxware noted that its integrated lending solutions are already live on more than 40 digital platforms.

The company has also recently launched a joint lending product with HypoVereinsbank, a member of the UniCredit Group. The offering provides businesses with immediate access to loans ranging from €1,000 to €5 million via platform integration and a streamlined single application process.

Jens Röhrborn, Chief Executive of Banxware, said the partnership with UniCredit reinforces the company’s ambition to build a new infrastructure for business lending across Europe.

“With every new platform we embed and every lender we connect, we are moving closer to a future where access to capital is as seamless and intelligent as the platforms SMEs use to run their businesses.”

Fiona Melrose, Head of Group Strategy and ESG at UniCredit, added: “Through Banxware's platform reach, UniCredit is extending its footprint across the digital SME economy in Europe, continuing to unlock the Group's acceleration.”

Martin Brinckmann, Head of Small and Medium Corporates at HypoVereinsbank, stated: “The German market is characterised by rapidly growing B2B platform revenues. Together with Banxware, we now offer our credit solutions at the point of need for our SMEs.”

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