This November we will host our fifth installment of LendIt Fintech Europe in London. Although London is most often referenced as the fintech hub of Europe, the reality is that there are interesting things happening across Europe. To highlight the trends outside of the UK, the LendIt team has produced three reports which share perspectives from fintech companies who operate in these regions. Below is a summary of each with accompanying links to download the free reports.
What many people don’t realize is that Denmark, Finland, Iceland, Norway and Sweden together make up the 10th largest economy in the world. In 2017, fintech received the highest percentage of investments in the region. The Nordics are home to well known fintech companies iZettle and Klarna but there are many other names getting traction. In this report we share perspectives from Brocc, C Finance, Copenhagen Fintech, Fellow Finance, Finopti, Flex Funding, Lendify, Monner, Tieto and Tink.
The German market received $650 million in fintech investments in 2015. However, the market is lacking in late stage funding for fintech companies. This is partially related to the fact that Germany doesn’t have one fintech center. Rather, Berlin is where many of the regulators and startups are based, but Frankfurt is where the investors and banks reside. Those who shared their perspective also noted that regulation is a main challenge in the market as the regulator, BaFin, treats fintech companies the same way as other financial service providers. BaFin does however provide some guidelines to support fintech companies. In this report you can read other perspectives from representatives of aixigo, Bitbond, creditshelf, Deposit Solutions, Exporo, FinLab, Funding Circle Germany, KREDU, Raisin, Spotcap, Startuprad.io, and Varengold Bank.
The French market is experiencing significant growth in fintech although off of a smaller base than other geographies. €240m was invested in French fintechs in all of 2017, but funding in Q1 2018 alone was €140m. Several respondents noted President Macron’s aspiration to make France a tech hub with the creation of a €10bn fintech startup fund. Respondents noted that regulation could move faster and there are also challenges around user awareness and adoption in the country. ClubFunding, Credit.fr, Early Metrics, Euratechnologies, Financement Participatif France, Finexkap, Hiive, Invyo, Kramer Levin, Lendix and MIPISE all participated in our French fintech report.