Finmid and myPOS bring embedded working capital finance to 90,000 Italian merchants

More than 90,000 merchants across Italy will gain access to embedded working capital finance following a new partnership between embedded lending infrastructure provider finmid and payments company myPOS.

The partnership allows eligible merchants using the myPOS platform to receive personalised financing offers directly within their existing payment ecosystem, removing the need for separate loan applications or lengthy approval processes.

Funding decisions are based on merchant performance data collected through the platform, with approved businesses able to access capital within 48 hours. Repayments are linked to revenue performance, allowing businesses to contribute more during stronger trading periods and less during quieter months.

The launch targets one of Europe’s largest SME funding gaps. According to the companies, Italy’s small business sector faces an estimated €3bn financing shortfall despite representing one of the continent’s largest SME populations.

Finmid will provide the lending infrastructure, underwriting, compliance and servicing capabilities behind the programme. The company has previously supported embedded finance initiatives for platforms including Wolt, Bolt Food, Glovo and FREENOW.

The move reflects growing interest in embedded working capital solutions across Europe as platforms seek to deepen relationships with merchants and help businesses access funding more efficiently.

Alessandro Bocca, Country Manager Italy at myPOS, said many Italian businesses continue to face challenges accessing traditional finance despite strong growth ambitions.

Finmid co-founder and chief executive Max Schertel said Italy represented one of Europe’s largest opportunities for embedded lending due to its combination of high SME demand and complex lending infrastructure.

The partnership comes as alternative funding providers continue to gain market share from traditional lenders, particularly among small businesses seeking flexible access to growth capital and working capital finance.