Fairown, a Tallinn-based subscription service provider, has secured €5.7 million in funding to expand its services in Germany, following success in the Baltics, Nordics, and Poland. The funding round was led by BONVENTURE and supported by existing investors, the startup announced on its website.
About Fairown
- Fairown is a fintech company that helps banks, brands, and retailers offer products as a service. The company operates in nine European markets, serving approximately 100,000 consumers and recognized by Asset Finance Connect's top financial experts
- The company combines product buyback and credit, but is still an asset-light solution for merchants. According to the company, the platform enables companies to increase sales and improve customer loyalty in a sustainable way.
- Fairown has just launched product subscription in the German household appliances market with BSH BlueMovement, representing the world-renowned brand Bosch. Its subscription service is also of enormous strategic importance for tech giants like STIHL, and Komplett. Furthermore, one of Fairown's early customers in Germany is Apple Premium Reseller (APR) FundK.
“We believe the share of product subscription models to increase significantly. This will change the way precious resources, embodied in hardware products, are treated. The concept, also known as Product-as-a-Service, incentivises the design of long-lasting, as well as better repairable and recyclable products. Customers benefit by paying for the actual usage and avoiding hidden costs associated with product degradation and disposal,” Paul Garte, Investment Manager at BONVENTURE, commented.
Investment details
The funding round was led by BONVENTURE, the first impact fund in the German-speaking countries, and supported by existing investors.
The existing investors include neosfer, the early-stage investor and innovation unit of the Commerzbank Group, STIHL Ventures, the corporate venture capital arm of STIHL, and Gateway Ventures.
The fresh funding will enable Fairown to develop and scale the product and grow the customer base in Germany.