Fintech startup RootAnt bags nearly US$1.5m in seed funding

SINGAPORE-HEADQUARTERED fintech startup RootAnt has bagged almost US$1.5 million in a seed funding round led by Linear Capital and with co-investor KZM & Company Group.

Linear Capital is an early-stage venture firm from Shanghai with a focus on tech-driven startups, while KZM is an international business creator with expertise in finance, IP (intellectual property) management and global expansion.

In a press statement on Thursday, RootAnt said it will utilise the funds to expand in Singapore, Japan and the rest of South-east Asia.

The startup brands itself as a tech enabler of banking-as-a-service that connects enterprises and financial institutions with new digital financial products for "easier, cheaper and faster financing services".

It also aims to provide corporates and small to medium enterprises (SMEs) with new and enhanced solutions on its platform. These include research and development for further development of its banking-as-a-service solution and multi-tier financing platform to support businesses with supply chain ecosystems.

RootAnt's multi-tier financing solution involves the use of digital payment obligation as a payment instrument. "This enables SMEs to obtain timely financing and maintain a healthy cash flow through lower financing costs, easier access and faster processing," the company noted.

The startup also plans to launch other financial solutions this year involving, among other things, SME finance and green finance, it said.