Financial solutions company One7 acquires fintech Rapidoo in Brazil
One7, a company offering financial solutions to businesses in Brazil, has recently purchased fintech startup Rapidoo in July 2020. Although the investment amount was undisclosed, One7 stated they will inject USD 9.3 million in financing for businesses to pay their receivables, according to Context.
Launched in 2016, Rapidoo offers small businesses access to credit. This allows small companies to access financing to pay their invoices on time. Considering One7 will allow Rapidoo to continue operating independently, the latter will benefit from the former’s larger network. Hence, countless micro and small businesses that do not have access to credit in Brazil will benefit.
It is estimated that during the current COVID pandemic, 3% of Brazil’s micro businesses and small and medium-size businesses (SMBs) have closed down. That number is expected to rise up to 7% in July. Both One7 and Rapidoo aim to combat these numbers by expanding their customer base.