Jessica Sparrfeldt, founder and CEO at Flow & Partners, tells Handelsblatt that Flow & Partners plans to establish itself in the German market. Flow & Partners is a 0TO9 portfolio venture founded a few months ago. It operates in working capital solutions.

"In Germany, there are many companies that, from a bank's perspective, are growing too fast and need more financing than they can obtain from their primary banks," says Sparrfeldt. These companies need financing solutions that grow with their business. "Most clients already have a credit line with their primary bank. We work with banks to provide additional liquidity."

The market potential in Germany is undoubtedly large. The founder of Flow & Partners estimates the total market at around €398 billion in annual factoring volume. Flow & Partners believes that approximately five percent of this is addressable, amounting to around €19.9 billion.

Flow & Partners sets itself apart from classic factoring. The company does not only finance receivables, she says. It can also provide a working-capital credit line, a feature she describes as the difference from traditional providers.

Read the full piece by Philipp Habdank in Handelsblatt (German).