With plans to offer R$ 50 million in credit by 2025, M3 Lending conducted a survey in its database to identify what is leading companies to seek financing. The startup found that the vast majority of reasons relate to the search for working capital.
Companies approach the fintech to obtain resources to be applied in purchasing new inventory (20%), opening new branches (25%), expanding current facilities (15%), and scaling operations (40%). “These are, therefore, companies seeking credit for growth, for working capital, and not to settle debts, for example,” emphasizes M3 CEO Gabriel Sousa César.
This way, the fintech can offer better credit conditions—even compared to conventional banks. For the same case, the amount made available can be more than 50% higher than what a traditional financial institution would offer, calculates the CEO. M3 also has a special focus on small and medium-sized businesses.
Due to intensive use of technology, the fintech applies a differentiated methodology for credit approval, which enables more advantageous conditions. The entire process is digital, via an app. “This allows operations without bureaucracy, hence lower costs, which means lower interest rates and zero bank spread,” highlights César.
For borrowing companies, the first step is to submit information about the request, which is analyzed by an M3 credit committee. Once the request and its conditions are approved, the startup connects the company to investors interested in funding the financing. Once the investments are secured, the credit is granted.
On the other end, investors also experience agility. Through the M3 app, they evaluate available opportunities and make their choice. When the chosen company has its credit approved, investors begin receiving returns based on the installments paid by the company itself.
A digital simulator, available on the M3 website or app, allows companies to understand their credit possibilities. Investors are not required to commit large sums: with just R$ 250, they can start investing.
Currently, there are already over 2,000 people connected to M3, both as borrowers and investors, informs the CEO. “It’s a more inclusive financing model, connecting those who need working capital with those who want to invest, contributing to business growth.”
M3 was founded in 2021 in Minas Gerais (Belo Horizonte). By 2029, it aims to reach R$ 600 million in transactions.
