Berlin-based fintech re:cap has announced its expansion into the UK, launching a €125m ($169.8m) credit facility for onward lending, backed by HSBC Innovation Banking and Avellinia Capital.

Known for its Capital Operating System (Capital OS), re:cap aims to equip tech companies with tools for real-time capital planning and flexible financing options.

The Capital OS is intended to assist high-growth companies in scaling without heavy reliance on equity or traditional lending constraints.

By integrating flexible debt, real-time liquidity management, and capital planning into a single platform, re:cap empowers founders and CFOs to maintain greater control over capital raising, allocation, and monitoring.

HSBC Innovation Banking’s structured finance head Phill Lovett said: “It has been a privilege to partner with re:cap since 2022, providing warehouse funding to enable the business to build a high performing loan book underpinned by re:cap’s market leading credit decision-making software.”

The UK, recognised as the second-largest tech funding market globally, is home to numerous startups and growth-stage firms facing challenges such as rising interest rates and increased investor scrutiny, according to the company.

With its UK expansion and new funding structure, re:cap aims to unify capital management, planning, and execution within one system, establishing itself as the primary platform for founders and CFOs across Europe and supporting a shift from equity-dependent models to data-driven financial strategies.

re:cap CEO and co-founder Paul Becker said: “Over the past four years, our platform has helped hundreds of tech companies in Germany and the Netherlands scale efficiently – with zero defaults and full transparency.

“Now we’re bringing that same infrastructure to the UK, supported by more capital than ever, provided by our strong existing and new partners.”

The concept for re:cap was born when co-founders Paul Becker and Jonas Tebbe identified a need to combine capital access with real-time financial analysis while consulting for a private equity firm.

They previously established LIQID, a prominent digital wealth management platform in Europe.

Since its launch in Germany in 2021, re:cap has provided over €100m ($135.8m) in financing to companies in Germany and the Netherlands, boasting an impressive record of zero defaults, which has built confidence among institutional investors.