A London FinTech scaleup looking to transform the digital media payment landscape has raised £107m led by one of the world’s largest asset managers.
Revving says it has a fresh take on traditional invoice factoring and is intent on transforming UK competitiveness in the global AdTech market. It aims to address the crippling issue of extended payment terms that has long plagued digital industries.
The investment package includes £100m of debt funding which it says is vital for the future growth of the UK economy but has been largely neglected by traditional financial institutions.
Over the next three years, Revving expects to fund up to £1.8bn to UK digital businesses.
“Over 50,000 UK businesses went under last year due to late payments. We are on a mission to eradicate this and this strategic investment is a game-changer for Revving and the entire digital economy,” said Chris Pettit, CEO of Revving.
“Revving has built a highly sophisticated platform specifically for the digital economy that completely reinvents the way traditional invoice factoring works.”
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The complexity of the AdTech ecosystem, including slow payments between publishers, affiliates, advertising networks, agencies and other intermediaries, results in a domino effect of financial strain across the entire digital supply chain.
Publishers face delayed payments, ad networks in turn struggle to accelerate cash flow for their clients, and programmatic and affiliate businesses are starved of critical cashflow and unable to capitalise on growth opportunities.
Revving says SME affiliates are suffering a ‘David and Goliath’ moment, with large platforms shortening supplier payment terms on the one hand, whilst large brands demand even longer invoicing payment terms on the other, leaving publishers and other digital SMEs invariably caught in the middle and having to fund these costs from their own pocket.
Vlado Spasov, head of capital solutions at DWS, said: “Revving’s focus on high-tech digital ecosystems and robust growth trajectory aligns perfectly with our commitment to backing transformative financial solutions in the UK.
“This investment represents the evolution of private credit as it grows into new and innovative digital sectors.”