Zetl Company Profile

Background

Overview

Zetl is a Hong Kong-based fintech company specializing in providing flexible financing solutions for asset-light businesses across the Asia-Pacific region. Established in 2018, Zetl focuses on assisting service-oriented companies—such as recruitment agencies, consultancies, SaaS providers, and digital media firms—that lack traditional collateral like equipment, inventory, or property. By leveraging receivables as collateral, Zetl offers growth, payroll, and working capital financing tailored to the unique needs of these businesses.

Mission and Vision

Zetl's mission is to empower the next generation of businesses in Asia-Pacific by providing accessible and flexible financing solutions. The company envisions a financial ecosystem where service-based SMEs can thrive without the constraints of traditional banking systems, fostering innovation and growth in the region.

Industry Significance

Operating within the fintech sector, Zetl addresses a significant gap in the market by offering financing options to businesses that are often underserved by conventional financial institutions. This approach not only supports the growth of SMEs but also contributes to the diversification and modernization of the financial services industry in Asia-Pacific.

Key Strategic Focus

Core Objectives

• Empowering SMEs: Provide accessible financing solutions to service-based SMEs, enabling them to manage operational expenses and fuel growth.

• Market Expansion: Extend services across the Asia-Pacific region, reaching underserved markets and fostering economic development.

• Innovation in Financing: Develop and implement innovative financial products that cater to the unique needs of asset-light businesses.

Areas of Specialization

• Growth Financing: Offer capital to support business expansion initiatives.

• Payroll Financing: Ensure timely wage payments to employees, enhancing workforce stability.

• Working Capital Financing: Provide funds to cover short-term operational expenses, maintaining business continuity.

Key Technologies Utilized

• Cloud Accounting Integrations: Streamline financial processes and enhance data accuracy.

• Proprietary Credit Scoring Models: Assess creditworthiness without traditional collateral, enabling faster decision-making.

• Digital Platforms: Facilitate seamless application and disbursement processes for clients.

Primary Markets Targeted

Zetl primarily serves service-based SMEs in the Asia-Pacific region, including countries like Hong Kong, Singapore, and the Philippines. The company focuses on businesses that operate without significant physical assets, such as recruitment agencies, consultancies, SaaS providers, and digital media companies.

Financials and Funding

Funding History

• Seed Round (July 2021): Zetl raised US$700,000 in seed funding to support its expansion and product development efforts.

Notable Investors

• The Workplace Accelerator: An HRTech-focused accelerator that invested in Zetl's seed round.

• Craigie Capital: A London-based investment firm that has invested in Zetl.

Utilization of Capital

The funds raised have been allocated towards product development, market expansion, and enhancing operational capabilities to better serve the growing demand from service-based SMEs in the Asia-Pacific region.

Pipeline Development

Key Products and Services

• Wage Layer: A payroll financing product designed to protect staff from late payments, ensuring timely wage disbursement.

• Revenue-Share Financing: Allows businesses to convert monthly revenues into immediate cash, improving liquidity.

• Invoice Financing: Provides one-off, fast, and flexible financing to cover short-term working capital needs.

• Credit Line: Offers flexible, longer-term financing secured against business revenues.

Target Conditions

Zetl's financing solutions are tailored for service-based SMEs that lack traditional collateral and have limited operating histories. The company focuses on businesses with regular and guaranteed income streams, such as those in the recruitment, consultancy, SaaS, and digital media sectors.

Anticipated Milestones

Zetl aims to expand its customer base by 500% in 2021, leveraging the recent seed funding to enhance product offerings and enter new markets within the Asia-Pacific region.

Technological Platform and Innovation

Proprietary Technologies

• Credit Scoring Models: Zetl employs proprietary credit scoring models that assess the creditworthiness of businesses without relying on traditional collateral, enabling faster and more inclusive financing decisions.

Significant Scientific Methods

• Cloud Accounting Integrations: By integrating with cloud accounting platforms, Zetl streamlines financial processes, ensuring data accuracy and real-time financial visibility for clients.

AI-Driven Capabilities

• Automated Payment Collections: Zetl has partnered with Finverse to automate payment collections, reducing manual processes and enhancing operational efficiency.

Leadership Team

Shan Han, Co-founder and CEO

Shan Han has a background in finance and fintech startups, having launched multiple ventures in the past seven years. His firsthand experience with the challenges of accessing fast, flexible financing for new-generation companies led to the founding of Zetl.

Matthew Roberts, Co-founder and Managing Director

Originally from the UK, Matthew Roberts has a background in capital markets, focusing on asset-backed lending at investment banks. He has been an angel investor in fintech startups for nearly a decade and is passionate about bringing better financial services to businesses in Asia.

Mark Francis, Co-founder and Commercial Director

Born in Hong Kong, Mark Francis has extensive experience in financial services recruitment and has co-founded two Asia-Pacific-focused executive search firms. His frustration with limited financing options for asset-light SMEs in the region led to the creation of Zetl.

Competitor Profile

Market Insights and Dynamics

The Asia-Pacific region is home to a rapidly growing number of service-based SMEs that often lack access to traditional financing due to the absence of physical assets. This market is valued at approximately US$360 billion and is growing at an annual rate of 12%, presenting significant opportunities for innovative financing solutions.

Competitor Analysis

Zetl operates in a competitive landscape with several key players offering similar financing solutions. Notable competitors include:

• Gazella: A fintech company providing recruitment and consulting services for the financial sector.

• Doreming: Develops HR platforms designed to promote the financial well-being of workers in hourly-paid, shift-based, and gig economy jobs.

• Superlinked: An online platform for recruiters and professionals, formerly known as PrimeFlow and BedrockX.

• TheCryptoStreet: Operates a blockchain-based job marketplace.

Strategic Collaborations and Partnerships

• Netbank Partnership: Zetl partnered with Netbank to provide financing solutions to Filipino SMEs, particularly in the business process outsourcing sector.

• Finverse Integration: To enhance operational efficiency, Zetl integrated Finverse's APIs to automate payment collections and data processes, improving customer experience and internal workflows.

Operational Insights

Zetl differentiates itself through its focus on asset-light businesses, offering financing solutions that do not require traditional collateral or personal guarantees. This approach addresses a significant gap in the market, providing essential support to service-based SMEs that are often underserved by conventional financial institutions. By leveraging technology and innovative financial products, Zetl enhances its competitive position and operational efficiency.

Strategic Opportunities and Future Directions

Zetl is well-positioned to capitalize on the growing demand for flexible financing solutions among service-based SMEs in the Asia-Pacific region. The company plans to expand its product offerings, enter new markets, and continue leveraging technology to streamline operations and enhance customer experience. By focusing on innovation and customer-centric solutions, Zetl aims to solidify its position as a leading provider of financing solutions for the next generation of businesses in Asia-Pacific.