FINOM Secures $105 Million Growth Investment from General Catalyst to Accelerate European Expansion

FINOM has secured a substantial growth investment of €92.3 million ($105 million) from General Catalyst's Customer Value Fund (CVF), marking a major milestone in the company’s ongoing mission to transform financial services for European entrepreneurs and small and medium-sized enterprises (SMEs).

A Non-Dilutive Growth Investment – Not a Traditional Funding Round

This investment represents a new form of growth financing. Unlike traditional funding rounds, it is provided through General Catalyst’s innovative Customer Value Fund, which supplies capital without diluting existing shareholders or increasing risk to the company.

Rather than investing through conventional equity, the CVF specifically supports FINOM’s customer acquisition initiatives. Repayment is tied solely to the performance of the customers acquired using this capital. Should these customer cohorts underperform, General Catalyst bears the downside risk.

Strengthening a Strategic Partnership

This investment further strengthens the long-standing partnership between FINOM and General Catalyst. The venture firm has supported FINOM since its inception and co-led the company’s €50 million Series B funding round in February 2024. With this latest non-dilutive investment, FINOM’s total capital raised now approaches €190 million ($200 million), equipping the company with the resources necessary to accelerate its expansion across Europe while preserving its cap table.

How the Customer Value Fund (CVF) Works

The CVF introduces a new model for growth financing, characterized by the following elements:

It covers the majority of FINOM’s sales and marketing expenditures.
Repayment is derived exclusively from revenues generated by the customers acquired through this investment.
Payment schedules are aligned with the actual cash flow of these customers.
There is no recourse to FINOM if the acquired customer cohorts underperform.
Existing shareholders retain their equity positions with no dilution.

This structure allows FINOM to scale more quickly, with significantly lower risk and none of the ownership dilution associated with traditional funding rounds.

Sustained Growth and European Expansion

Since its launch in 2020, FINOM has rapidly expanded across key European markets, launching local IBAN accounts in Germany, France, Italy, and Spain. By offering localized products combined with seamless user experiences, the company has achieved high customer adoption rates and satisfaction scores.

In 2024, FINOM doubled its revenue and is on track to continue this growth trajectory through 2025, despite challenging macroeconomic conditions. The company currently serves over 100,000 businesses in five European countries, maintaining positive unit economics in all markets and demonstrating strong customer lifetime value relative to acquisition costs.

Looking Ahead

This latest growth investment will enable FINOM to continue expanding into additional EU markets, deepening its localization strategies and accelerating customer acquisition. The company remains committed to sustainable growth principles, with a focus on strong unit economics and high customer satisfaction. Its objective is to achieve full Eurozone coverage by the end of 2025.

According to FINOM Chairman and co-founder Kos Stiskin, partnering with General Catalyst represents a major strategic win. The CVF brings not only capital but also deep expertise and alignment—qualities of a partner that understands the company inside and out.

General Catalyst shares this vision for the future. Zeynep Yavuz, Partner at General Catalyst, commended FINOM’s strong growth and impressive customer retention, emphasizing that the CVF investment positions the company well for its ambitious European expansion—free from the capital constraints and equity dilution often associated with rapid scaling.

FINOM remains committed to its mission: empowering European entrepreneurs and SMEs with innovative financial solutions that simplify, streamline, and enrich financial management.