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Crowdcube Campaign Targets SME Financing
A³ Handelspartner GmbH, a Hamburg-based fintech, has opened a new funding round on Crowdcube as it looks to expand its alternative lending platform for small and medium-sized enterprises (SMEs). The company is seeking €5 million in fresh equity, valuing the business at €50 million pre-money.
The campaign highlights A³’s ambition to fill what it sees as a significant funding gap for SMEs in the UK and across Europe. Industry estimates put that gap at around €400 billion annually, largely due to traditional banks’ reliance on slow, restrictive processes.
A Mission to Democratize Finance
Founded in 2018, A³ has built its strategy around making lending more accessible to businesses often overlooked by legacy lenders. Its model emphasizes fast, digital-first access to credit while keeping compliance in focus. Since its founding, the company has disbursed more than €150 million in loans, positioning itself as a notable player in the European market.
At the center of this effort is CreditEngine, A³’s proprietary digital platform. It applies algorithms, machine learning, and data analysis to automate the lending process. Applications can be completed online, with decisions reportedly issued within minutes and funds delivered within 48 hours.
The system goes beyond financial statements, factoring in data such as cash flow patterns, industry conditions, and in some cases non-financial indicators. This allows A³ to reach groups such as startups and seasonal businesses that might otherwise struggle to secure capital.
Operational Model and Performance
Efficiency is a key differentiator. A³ reports that its CreditEngine automates 95 percent of underwriting, helping keep its cost-to-income ratio around 25 percent, compared with roughly 50 percent for many traditional lenders. Lower operating costs translate into reduced fees for borrowers, the company says.
Financial performance has also been highlighted. In its most recent year, A³ reported revenue growth of 180 percent to €12 million, with its loan book increasing 250 percent to €200 million. The firm says it reached profitability in the second quarter of 2025, with EBITDA margins at 35 percent.
Terms of the Crowdcube Offer
Through the Crowdcube campaign, A³ is offering 10 percent equity for €5 million. The funds are expected to support expansion into new European markets, with Poland and Spain identified as priorities. Proceeds will also go toward rolling out CreditEngine more broadly across the EU.
The round follows previous raises in which early backers saw returns. A³ has since integrated blockchain elements into its infrastructure to provide additional transparency and security in transactions.
Broader Context and Challenges
The fundraising effort arrives at a complex moment for SMEs. Businesses have shown resilience in post-pandemic recovery, yet inflation and geopolitical instability continue to pressure liquidity. Alternative lenders are increasingly sought as firms look for faster and more flexible financing.
A³ has also aligned its lending with sustainability initiatives, with about 70 percent of its loans said to support environmentally focused businesses. This includes projects such as wholesalers installing solar panels or exporters adopting eco-friendly supply chains. By focusing on these sectors, the company aims to remain aligned with EU sustainability frameworks.
Regulatory and Strategic Position
The company operates under the oversight of BaFin, Germany’s financial regulator, and employs a team of 50 professionals with backgrounds in technology and finance. A³ has developed partnerships across retail, manufacturing, and e-commerce, giving it a foundation for scaling its model across borders.
In addition to lending, the firm is building out services such as invoice factoring and supply chain finance. It now works with more than 500 SME partners, seeking to position itself as both a financier and a broader service provider.
The Road Ahead
For investors, the Crowdcube campaign offers exposure to a growing company at an early valuation stage. For A³, the round represents an opportunity to expand beyond its German base and strengthen its position in Europe’s alternative finance sector.
Whether the firm can achieve its targets will depend on execution and continued demand for non-bank lending. With SMEs still underserved in many European markets, and digital tools lowering the cost of credit delivery, companies like A³ are well placed to test new models.
As economic conditions remain uncertain, the ability to provide fast, compliant, and accessible funding could determine which fintech lenders emerge as long-term players.
