NX Technologies raised 22 million euros (about $24 million) in a Series B funding round led by PayPal Ventures.
The company will use the capital to strengthen its market position in Germany, expand into new markets in Europe and grow its digital payment management platform for the automotive industry, bezahl.de, NX Technologies said in a Wednesday (March 20) press release.
The new product development will focus on “enabling automotive players to offer embedded finance products to their customers at the right touch points throughout the sales process,” Ulrich Schmidt, co-founder and chief product and technology officer of NX Technologies, said in the release.
NX Technologies’ platform enables dealerships and other automotive providers to offer several payment methods and embedded financing options, thereby improving the payment experience for their customers, according to the release.
The platform handles the entire receivables process, shortens the order-to-cash timeframe, and minimizes the need for accounting and back-office resources, the release said.
In addition, it was recently expanded to include a digital installments solution for the service and after-sales sectors, per the release.
The platform currently manages payments for over 70% of the top 100 automotive retail groups and more than 1,000 car dealerships in Germany, according to the release.
“NX Technologies has created an industry-leading holistic payments management solution that addresses the divide between today’s digitized showrooms full of smart, connected vehicles and the inefficient, manual back-office processes that can cost automotive dealers up to two-thirds of their margin,” Alexandros Bottenbruch, an investor with PayPal Ventures, said in the release. “We believe that they are well positioned to capture additional market share throughout Europe, and we’re excited to be supporting the team on their journey.”
In another automotive industry development, Mitsubishi Motors North America announced a digital retail program in February, saying it would reduce the time it takes to buy a vehicle by 70%.
The launch of ClickShop 2.0 comes in partnership with automotive sales and finance technology company AutoFi and vehicle-focused consumer finance company Santander Consumer USA.
