Paytner Secures 2.7 Billion Yen in Non-Dilutive Debt Financing via Mizuho-Arranged Syndicated Loan
Paytner, a FinTech firm specializing in factoring services for freelancers, has closed a 2.7 billion yen syndicated loan agreement. The facility, arranged by Mizuho Bank, represents a significant move to fortify the company’s balance sheet without diluting equity, supporting its rapid transaction volume growth.
The Facility Structure
The financing takes the form of a term loan involving a syndicate of major financial institutions. Mizuho Bank served as the arranger, with participation from the UPSIDER BLUE DREAM Growth Fund 2 (a limited liability investment partnership), Fukoku Mutual Life Insurance Company, The Shoko Chukin Bank, and The Yamanashi Chuo Bank.
Notably, the loan is unsecured and non-guaranteed, with no stock acquisition rights attached. This structure allows Paytner to secure substantial liquidity while avoiding the equity dilution typically associated with startup fundraising at this scale.
Strategic Backing and Monitoring
The deal leverages a daily financial monitoring system provided by UPSIDER Capital, a subsidiary of the arranger. This high-frequency oversight allowed the participating financial institutions to underwrite the credit risk of a high-growth startup, facilitating a syndication of unusual scale for a company in this phase.
Eiki Uchida, General Manager of the Aoyama Corporate Division at Mizuho Bank, commented on the deal: "Paytner continues to demonstrate rapid growth, addressing social issues related to cash flow for freelancers. We highly value their business model and future potential. This arrangement diversifies their funding sources for receivable purchases and will powerfully back their continued expansion."
Operational Growth
Paytner operates an online factoring service that allows freelancers to monetize invoices in as little as 10 minutes. Since launching in September 2019, the company has seen its annual factoring transaction volume expand by 876-fold over six years. As of October 2025, cumulative loan applications surpassed 500,000.
The proceeds from this financing round are earmarked for purchasing receivables to support transaction volume expansion and for the development of new features.
Corporate Developments
Alongside the financing, Paytner announced it is aggressively hiring across multiple divisions, including Product Management, BizOps, Finance, and Engineering, to support its scaling operations. The company was recently recognized in the "Technology Fast 50 2024 Japan" and continues to gain traction in the Japanese FinTech sector.
Norbert Gehrke
