London-based InsurTech 50 firm Bondaval has raised 拢12 million in Series A funding, led by Talis Capital.
The Series A funding brings to $25m the investment raised by Bondaval in just two years and will be used to expand the business globally.
Founded in London in 2020 by former England Rugby Sevens captain Tom Powell (CEO) and Sam Damoussi (Chief Underwriting Officer), Bondaval鈥檚 proprietary technology can be used to modernise and simplify B2B payment.
Powell said: 鈥漌hen we first established the business less than two years ago, we could only imagine how quickly the market would respond to our technology-led approach for payment security.
鈥淲e are honoured by the confidence shown by our existing investors and our new investors and the validation from our best in class clients. We look forward to increasing access to more favourable financial security for all parties involved in B2B credit transactions.鈥�
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Investors in the round included existing shareholders Octopus Ventures, Insurtech Gateway, TrueSight, Expa, as well as new investors Talis Capital, FJ Labs and Broadhaven Ventures. Thomas Williams, general partner at Talis Capital, will join Bondaval鈥檚 board.
The company鈥檚 key offering is its MicroBonds, technology-enabled surety bonds that secure receivables and can be easily purchased, and managed, through the Bondaval platform.
Primarily serving FTSE 100 and S&P 500 companies, including the likes of Shell, BP, Highland Fuels and TACenergy, MicroBonds replace traditional payment security methods, including bank guarantees and trade credit insurance, which can come with a negative balance sheet impact for customers, don鈥檛 always offer full indemnity and can be cancelled without notice.
Since launching, Bondaval has expanded its team to 20 people, including the addition of Jochen Duemler, former CEO North America of the world鈥檚 largest credit insurer Euler Hermes (now Allianz Trade).
Thomas Williams, of Talis Capital, said: 鈥淲hat the Bondaval team has been able to achieve in its first couple of years is truly remarkable. We rarely see this pace and thoughtfulness of execution, which is a testament to the talented team that Tom and Sam are assembling, combined with exceptional demand for this product.鈥�
Returning investor Tosin Agbabiaka, from Octopus Ventures, added: 鈥淎fter backing Bondaval early on and working alongside them, it鈥檚 more evident than ever that the team has both the prudence and the pace to build a category-defining business in credit and insurance.
鈥淲e continue to be impressed by Bondaval鈥檚 ability to develop this innovative solution, drive value to some of the largest companies in the world, and continue building an exceptional team. Therefore, our decision to double down on supporting the company in this next stage of its journey was a no-brainer.鈥�