YouLend, REA Card embed SME financing into payments

By Milan Rojan

Embedded financing platform YouLend has partnered with German payment solutions provider REA Card to offer working capital financing directly to small and medium-sized enterprises (SMEs) through REA Card’s payments infrastructure.

Leonard Strigel, General Manager Europe at YouLend, said, “With REA Card, we are bringing financing directly to the place where merchants work every day – their card terminal.”

The partnership has enabled merchants using REA Card’s point-of-sale (POS) terminals, cash register systems and SoftPOS solutions to access financing offers based on their card transaction revenues. Rather than relying on traditional bank-style credit assessments, the embedded financing model uses payment data to determine eligibility, aiming to accelerate approvals and improve access to capital for businesses.

The solution has targeted SMEs across sectors including restaurants, cafés, bakeries, retailers, taxi operators and hair salons that regularly process card payments and require funding for inventory, seasonal demand or business expansion. Merchants have not been required to submit separate loan applications, as financing offers have been generated using existing payment data within the platform.

Phillip Becker, CEO of REA Card, said: “With YouLend, we are giving merchants fast access to capital based on their actual business performance.”

The collaboration has combined REA Card’s merchant network and payment infrastructure with YouLend’s embedded financing technology and AI-driven credit decision models. The companies said the technical integration has been completed, allowing eligible REA Card merchants in Germany to access financing immediately.

The partnership has expanded YouLend’s embedded finance network in Germany as providers continue to integrate lending services into payment ecosystems to improve SME access to working capital.