Finom raises $131.97m Series C to fuel pan-European SME banking expansion

By Vriti Gothi

Finom, a challenger bank based in Europe and specifically tailored for SMEs and freelancers, has announced a $131.97 million Series C funding round.

The round was led by AVP (formerly AXA Venture Partners), with participation from investor Headline Growth and General Catalyst, Northzone, and Cogito Capital.

This milestone follows a recent $ 105 million investment from General Catalyst’s Customer Value Fund, bringing Finom’s total capital raised to over $344.3 million. The financing will be used for the company’s ambitious roadmap for pan-European expansion, product innovation, and customer growth, reinforcing its position as the financial backbone for SMEs across the continent.

Finom’s platform integrates digital business banking, AI-powered financial intelligence, payments, invoicing, expense management, and foreign exchange services into a seamless, customer-centric experience, delivered under a single Electronic Money Institution (EMI) license. The company recently expanded its offering to include working capital credit lines for Dutch businesses, signalling a strategic entry into the SME lending space.

With local IBAN accounts now available in Germany, France, Italy, Spain, and the Netherlands, Finom is positioned to deliver compliant, frictionless financial services tailored to local regulatory and business environments.

Serving over 125,000 customers, Finom, revenue in 2024 while maintaining positive unit economics across all operating markets. The platform’s value proposition lies in its ability to reduce financial complexity, empower real-time decision-making, and streamline core financial workflows, giving entrepreneurs back the time and control they need to grow.

The Series C funding positions Finom to further invest in its core technology, expand into new European markets, and explore strategic acquisitions to deepen its product capabilities and customer reach. Upcoming priorities include AI-enhanced financial analytics, expanded credit offerings, and deeper integrations with tax and accounting systems, designed to enhance the end-to-end financial journey for SMEs.

Andrey Petrov, CEO and co-founder of Finom, said, “This funding enables us to move faster not just in technology, but in building lasting trust with the one million entrepreneurs we aim to serve by 2026. We’re reimagining financial services to meet the speed, scale, and ambition of Europe’s entrepreneurial spirit.”