Fintech may have been on a rollercoaster in recent years, but even if investors have wavered there are still plenty of antiquated financial systems that have yet to experience a digital transformation.
Roland Jais-Nielsen, the founder and CEO of Hero, believes he's found one: Solving the short-term cash crunch that many small and medium-sized businesses periodically face. The company's mission is to democratize short-term financing for SMEs to address the challenge of payment delays. Eventually, the company aims to build the most comprehensive one-stop shop for SMEs in Europe, offering everything from basic banking services to sophisticated financing solutions.
Founded in 2021, Hero recently secured €11.3 million in funding and obtained a crucial French payment institution license, marking significant milestones in its journey
"We bring particular value to companies in their growth phase. Often, they want to quickly reinvest their profits into growth, but they have to wait for their own customers to pay them first. We allow them to do it directly," said Jais-Nielsen, who described Hero as "the tool I would have dreamed of having as a business owner."
What is Hero?
At its core, Hero offers an all-in-one business account that combines multiple essential services. "When our clients open a Business Account with Hero, we offer them flexible credit options to help manage payment delays, with highly competitive fees," Jais-Nielsen said.
The platform includes:
- Business accounts with multiple IBANs
- A premium Visa Platinum debit card
- Payment processing solutions with competitive rates (starting at 0.4% + €0.15 per transaction)
- Short-term financing options
- Supplier invoice financing (up to 90-day terms)
- Accounts receivable financing
What sets Hero apart is its comprehensive approach to working capital management. Rather than forcing SMEs to juggle multiple fintech products and banking relationships, Hero provides an integrated solution that handles everything from basic banking to sophisticated financing options.
The company has already demonstrated significant traction, serving over 10,000 SMEs and facilitating more than €150 million in credit over the past 18 months.
Under The Hood
Unlike many fintech startups that rely on banking-as-a-service providers, Hero has built its own core banking system from the ground up. This strategic decision gives the company complete control over its technology stack and allows for greater flexibility in product development.
The platform includes a proprietary risk-scoring engine that uses both public and private data to assess client creditworthiness, enabling quick decisions on financing requests.
This system merges treasury flow integration tools and omnichannel payment methods into a single digital platform. This technological independence, while requiring significant investment and time to develop, positions Hero to offer more competitive pricing and better service quality to its customers, Jais-Nielsen said.
Who?
Jais-Nielsen started his first business selling software while still in school and later founded Merci Handy, a cosmetics brand known for hand sanitizers.
This background has given him firsthand experience with the working capital challenges that many SMEs face, particularly during growth phases when companies need to reinvest quickly but are constrained by payment delays from their customers.
The Full Scoop...
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