The Swedish fintech company Froda has secured SEK 224 million in a Series B round to accelerate its European expansion. The investment will be used to scale up the company's embedded finance offering, broaden partnerships and reach more small business owners in new markets in Europe. The round was led by Incore Invest, with continued strong support from existing investors.
The round takes place at a time when capital raising within fintech has slowed down significantly, and many players are finding it difficult to attract new venture capital. The investment signals a growing confidence in embedded finance as a model for scalable and sustainable growth within fintech. The capital will be used to scale up Froda's operations, establish new partnerships and expand to more European markets.
– We are in a crucial growth phase for Froda and are seeing a sharp increase in interest from both new and existing partners across Europe. With Incore Invest behind us, we can accelerate our expansion and scale up partnerships to continue supporting small businesses with the financing they need. Our goal has always been to make financing fairer, simpler, and more accessible, and this round makes it possible for us to take bigger steps in the right direction, says Olle Lundin, co-founder and CEO of Froda.
Froda grew its customer base by 30 percent in 2024 and has signed an average of one new Froda Embedded partnership per month. The company was included in the Financial Times list FT1000: Europe’s Fastest Growing Companies 2025, and has recently expanded its partnership with the European Investment Fund (EIF) through the launch of the first pan-European guarantee for microfinancing. This enables Froda to scale up its proven model from Sweden, where Froda's SME customers are growing twelve times faster than the national average.
Since 2021, Froda has focused on embedded finance, which has been the basis for the company's international expansion. Under Froda Embedded, the company offers white-label products for SME financing, allowing partners to benefit from Froda's financing and infrastructure. The platform integrates directly into the ecosystems of banks, fintech companies, and payment companies, enabling them to offer business loans in their own interface and under their own brand. New partnerships with Mimo (UK), Lunar (Nordics), and Kontist (Germany), among others, demonstrate the growing demand. This strengthens Froda's role in addressing the growing financing gap for small businesses in Europe, which is estimated at 400 billion euros.
– At Incore Invest, we look for companies that not only change markets but fundamentally reshape them. Froda is an excellent example of this. Their strong business strategy, impressive growth curve, and industry-leading partnerships make them an obvious investment for us. We are proud to support Froda in their expansion across Europe and in their continued growth journey, says Nicolai Chamizo, founder and CEO of Incore Invest.
The investment in Froda is one of the first from Incore Invest's new fund – Incore Invest II. The fund is focused on accelerating the growth of fast-growing companies in fintech, SaaS, and embedded finance. Within the framework of a broader portfolio strategy, Froda stands out as a flagship example of the future of fintech and investment-driven growth in the Nordics, and reflects the type of company that Incore's fund is designed to support.
About Froda
Froda was founded in 2015 with the ambition to redefine business financing by making it more accessible and efficient for small and medium-sized enterprises. Froda creates opportunities for all entrepreneurs, regardless of background, to realize their business ideas. With the help of digital processes and technological innovation, Froda has revolutionized the loan process and shortened it from months to minutes – with a focus on offering fast, fair, and inclusive financing. Today, Froda is one of Europe's fastest-growing tech companies, with support from investors such as Karl-Johan Persson, Nicklas Storåkers, and Victor Jacobsson. In 2021, Froda launched an initiative in embedded finance, through which the company has expanded to the Nordics, the United Kingdom, and Germany, and has entered into partnerships with Visa, Lunar, and Checkout.com, among others. As a credit market company, Froda is under the supervision of the Swedish Financial Supervisory Authority. Read more about Froda
About Incore Invest
Incore Invest is a Stockholm-based investment company specializing in growth investments in internet and technology. The company was founded in 2022 by Nicolai Chamizo and works closely with founders and management teams to develop companies into market leaders. With deep sector knowledge and an extensive network within the European tech sector, Incore Invest offers strategic capital and active support to its portfolio companies. Its investments include Brite Payments, Froda, Mynt, SAVR, and Kameo. In 2025, the company launched its second fund, Incore Invest II, with the aim of accelerating growth journeys for promising tech companies in Europe.
Posted
April 23, 2025
