ProfitShare Partners gets US$1.66m line from FirstRand’s Vumela Fund

SOUTH AFRICA – ProfitShare Partner, a Fintech company that provides disruptive short-term capital, has secured a R25 million (US$1.66m) capital line from the Vumela Fund, which is managed by Edge Growth Ventures.

Launched in 2018, Vumela’s third fund focuses on supporting high growth SMEs in the banking supply chain with good economic and impact returns – a key driver of ProfitShare Partners value proposition to the SME market.

ProfitShare Partners is fast-tracking SME performance and delivery through its profit-sharing business model.

As a short-term capital partner to small business owners, the FinTech company also provides the professional expertise and guidance to help SMEs deliver optimally and avoid the common pitfalls that slows growth.

Andrew Maren, founder and CEO of ProfitShare Partners, said;“We’re really excited to have secured the confidence of an established fund like Vumela to continue enabling the SME market through our short-term capital solutions.

“We have unlocked an insatiable market for our offering and the commitment from the Vumela Fund is indeed encouraging to reach more SMEs and create an even greater impact in the market.”

Mike Sage, Trustee of the Vumela Fund, said; “We have every confidence that ProfitShare Partners will deliver on the mandate of the fund.

“The results they have already shown will bring exceptional value to the objectives we wish to achieve – creating and supporting high growth SMEs.

“The impact that we’ve seen is impressive and we look forward to accelerating this over the next two years.”

Through its partnership with Edge Growth, ProfitShare Partners is assisting in addressing the gap that exists in the SME environment.

 “We’ve managed to grow our book value 400% in one year, highlighting the demand for this type of capital. Each successful deal raises the profile and profitability of our SME clients – ultimately, we want to grow small businesses to become financially sustainable and lose them to traditional financial institutions.

“That’s when we know we have truly helped our SME’s,” added Maren.

In line with the Vumela Fund’s goal of ensuring sustainability for SMEs to become key contributors to job creation in the economy, ProfitShare Partners is committed to offering immediate capital solutions to SMEs struggling with cashflow to deliver on their contracts and purchase orders in the supply chain of large corporates.

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