TransactionLink Secures €5m Seed Funding for KYB Automation

Published 6 months ago

TransactionLink, a builder of drag-and-drop solutions for business onboarding, has successfully raised €5m in a seed round. The funding aims to expand its Know Your Business (KYB) product into new sectors, as well as fortify its co-headquarters in Berlin and London.

Funding Round Led by White Star Capital

The funding round was spearheaded by White Star Capital, a multi-stage investment firm operating globally, and saw participation from angel investors from London and Paris. Existing investor, Target Global, along with other angel investors from the pre-seed round, also contributed to this new round of funding.

TransactionLink’s platform enables teams to create and automate their business onboarding processes in minutes. This includes creating complex workflows, implementing risk and decision logic, and integrating with leading Know Your Customer (KYC)/KYB services - all without the need for coding. The platform handles both back-end checks and front-end customer interactions, offering a comprehensive end-to-end experience.

A Shift in B2B Financial Services

CEO and founder of TransactionLink, Mateusz Pniewski, highlighted the growing interest in business onboarding automation. He stated that financial institutions are realising the need to invest in user experience and process efficiency, rather than focusing solely on product offerings. Pniewski emphasised the imminent shift in B2B financial services, driven by the need for all players to adapt in a similar way to the disruption caused by Revolut, Monzo, and N26 in the retail space during the 2010s.

TransactionLink, originally an open banking services provider, now concentrates on customer onboarding, seeing it as a significant opportunity. The process remains largely manual in the business-to-business world. However, TransactionLink believes that its automation tools can provide a comprehensive onboarding product that can save time and money for payment providers, fintechs, banks, and wealth management platforms.

Serving Global Clients

The company currently serves over 50 customers globally, including Fortune 500 and global payments provider, Fiserv. Its platform offers over 150 ready-made integrations to the most common KYB/KYC data sources across more than 100 geographies. The platform can be fully white-labelled and helps speed up merchant activation, reduce manual work during business account opening with banks and wealth management platforms, and decrease churn in onboarding.

Pniewski added that they have managed to reduce the onboarding costs of established players by as much as 70%. For new entrants and scale-ups, they have provided ready-made onboarding processes for expansion into new markets.

Looking to the Future

White Star Capital’s broad geographic footprint will play an important role in TransactionLink’s strategy, as B2B onboarding transitions to a global-first model. Nicholas Stocks, General Partner at White Star Capital, expressed his excitement for the future of TransactionLink, noting the massive opportunity in solving the challenges of building and managing an efficient and streamlined KYB workflow.