Factris is consolidating its position in Lithuania and is expanding into other European markets
The Lithuanian factoring company, previously known as Debifo, is relaunching as Factris. The move comes after a merger with the Dutch factoring company, Factris, which was completed in January.
Following the merger, the decision was made to use a single brand name that would be recognized across Europe.
“Doing business under the brand name of Factris has laid the foundation for the next stage of growth. We are already working on enhancing our service offerings for our clients. During the first half of this year, the company will introduce a new platform in the Netherlands that is consistently aligned with the best financial sector practices and the latest technologies, aiming to minimize potential risks and automate the management and handling of business financing. The new platform will be rolled out in Lithuania this summer. Furthermore, Factris plans to become a specialised bank, allowing the company to offer competitive pricing and new products to clients in the future,” said Brian Reaves, Factris CEO, explaining the company’s plans.
According to Justas Šaltinis, founder and manager of Debifo, who has already joined the Factris management team, the merger will result in better products for clients and improved customer service. “We are pleased to have this chance of continuing to do business as part of a steadily growing company, which will open up new opportunities in the European market for small and medium-sized business financing,” said Mr. Šaltinis.
The majority of clients are young, growing businesses
Debifo launched its operations in Lithuania in 2015 and became the first company in the Baltic States to provide non-banking factoring services. The company estimates that the invoice financing market has grown more than fivefold over the past three years, with the value of invoices financed exceeding €100m. The factoring service is primarily used by small and medium-sized Lithuanian businesses seeking to manage their cash flows effectively, as payments for services or goods often take several months or longer to settle.
According to Factris, applications for invoice financing are primarily made by companies operating in the wholesale trade, transportation, timber, and construction sectors.
Ahead – major investments in Lithuania
In Lithuania, Factris is further developing the proprietary software platform, introducing group products, investing in research and development, marketing, and other operational activities. The company has started hiring product developers, engineers, and other specialists. The expectation is to invest €8m in the foreseeable future to strengthen compliance systems, introduce new financial products, and streamline operations as Factris scales across Europe.
Currently, Factris in Lithuania offers non-banking factoring (invoice financing) service and reverse factoring (financing of invoices raised to suppliers) as well as commodity credit insurance.
Dutch company Factris was founded in 2017 and has a leading position in the Netherlands and Lithuania. Factris will soon be announcing further expansions into other EU countries. Speedinvest and Optima Investments support the company’s growth in Europe with additional capital to acquire other providers of working capital solutions.
