R2 Analysis: $9M Raised
What is R2?
R2 provides financial services for merchants on partner platforms, including lending, revenue-based financing, and merchant cash advances. Its stack combines API and SDK integration, AI-driven risk models, KYC, compliance, and same-day funding. The company says it powers financial services on leading platforms across Latin America and has granted over 180,000 loans in five countries.
Location
Mexico City, Mexico
Employees
51-200
Founded
2020
Revenue
$2-17M
Product Features & Capabilities
- Revenue-based financing, end-to-end white-labeled financing, seamless integration via APIs, scoring models pre-trained on millions of merchants, tailor-made offers for merchants from $500 to $50,000, trustworthy KYC & AML processes, same-day capital, painless servicing and collections.
Pricing
- Standard storage: $0.015 / GB-month
- Infrequent Access storage: $0.01 / GB-month
- Class A Operations: $4.50 / million requests
- Class B Operations: $0.36 / million requests
- Data Retrieval (processing): None for Standard, $0.01 / GB for Infrequent Access
How much R2 raised
1 - $9 million
November 28, 2024Lead Investor: Hi Ventures, Cometa
Who are the founders of R2
RL
Roger Larach
Co-Founder and CEO
RT
Roger Teran
Co-Founder
Competitors Overview
R2 operates in the revenue-based financing market and faces competition from several notable companies:
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Konfio: Specializes in financial solutions and payment services for small and medium-sized enterprises (SMEs). It offers business credit and payment processing, directly targeting the same clientele as R2.
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Dinie: Provides embedded lending infrastructure and B2B payment solutions, enabling instant credit for digital platforms. Its focus on technology integration and rapid credit provision may give it an advantage in the fintech landscape.
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Captalys: A specialty finance company that offers efficient credit alternatives while focusing on protecting and growing investor capital. This differentiates it from R2, which has a broader service offering.
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SoFi: Offers a wide range of financial products aimed at helping individuals achieve financial independence. Its significant revenue and diverse solutions set it apart in the market.
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PayPal: A well-established player known for fast and easy money transactions. Its extensive reach and brand recognition provide a competitive edge.
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Square: Offers integrated solutions for sellers, including payment processing and financial services. Its focus on omnichannel solutions distinguishes it in the market.
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ClearGage: With an estimated revenue of $17.9M, it has a higher revenue than R2, indicating a more established market presence.
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TradeKing: Larger than R2 with an estimated revenue of $36.2M, which may provide it with more resources and market influence.
R2's estimated annual revenue is $11.7M, and it has experienced significant employee growth, which may enhance its competitive position.
Investors
- Hi Ventures
- Cometa
- Endeavor Catalyst
- Y Combinator
- Gradient Ventures
Business Model
Revenue-based financing model, partnering with merchants to generate new revenue streams.
Market Focus
R2 Capital primarily focuses on the financial services industry, specifically providing revenue-based financing solutions for merchants across various platforms to support their business growth.
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