Investree, an Indonesian peer-to-peer lending platform for small and medium enterprises (SMEs), has expanded its business and services into the Philippines. Last week, the firm signed a partnership agreement with Filinvest Development Corporation (FDC), one of the largest conglomerates in the Philippines, to explore opportunities in empowering SMEs in the country.
FDC’s line of businesses covers banking and financial services, property, power, and infrastructure. The partnership between the two companies will see Investree providing expertise in fintech-based solutions to SMEs, while FDC will offer local knowledge and a robust network of users.
“We are very pleased to be partnering with FDC, a well-known corporation that has a very broad reach in the Philippines. FDC and Investree share a common vision and mission, especially in empowering SMEs in Southeast Asia,” Investree co-founder and CEO Adrian Gunadi told KrASIA. “We’ll provide solutions that give SMEs access to reliable financial services like what we have been doing in Indonesia and Thailand.”
SMEs can apply for loans conveniently and transparently, and at competitive costs, he said. During the initial phase of this partnership, Investree is offering invoice financing that targets suppliers and vendors in the FDC ecosystem, Gunadi added.
As with Indonesia, Gunadi believes that the Philippines has huge potential when it comes to empowering SMEs. “In 2018 alone, 99.6% of businesses registered in the Philippines were SMEs, which employ more than 70% of the workforce there. This is what Investree and FDC want to explore together. Cooperation like this is also relatively new there, so we are very optimistic about the demand.”
Investree does not have a specific target regarding the number of loans or customers for now, because it wants to focus on solidifying its partnership with FDC. Moreover, the startup is currently in the process of obtaining a license from the Securities and Exchange Commission (SEC) so they can operate at full capacity.
Prior to the Philippines, Investree expanded into Thailand in the third quarter of 2019 under the brand Investree Thailand. The company is in the process of obtaining a crowdfunding license from the country’s SEC and it aims to get a full license in the second quarter of this year.
“Investree Thailand has been showing positive development. We have partnered with a cloud-based accounting platform for local SMEs and it has been going well. In the near future, we will form another strategic partnership with one of the largest payment gateway companies in Thailand to facilitate transactions through our platform, as well as to further grow Investree’s business there,” Gunadi said.
Founded in 2016, Investree provides financing products and government bonds on its platform. According to its website, the startup has channeled around IDR 3.46 trillion (USD 254 million) in loans to 380 borrowers to date. To boost its regional expansion, Investree is in talks with several investors to raise Series C funding, where the first closing will be finalized by the end of the current quarter, said Gunadi.
