Embedded credit startup Seedflex is preparing to raise a Series A round of US$6 to US$8 million later this year, as its Malaysia operations turn profitable and the company looks to scale beyond its core market.
Founder and CEO Ritwik Ghosh told DealStreetAsia that Seedflex became profitable in Malaysia in the third quarter of 2025, roughly 18 months after launch, and has remained so since.
The company provides cashflow-based credit to MSMEs through payment and commerce partners.
Ghosh said the upcoming Series A is driven by growth opportunities rather than financial pressure.
“This is not about the runway or survival. It’s about whether we can accelerate growth in Malaysia and in other markets,”
he said.
Seedflex last raised US$3.2 million in a seed extension round in May 2025, co-led by Z Venture Capital (ZVC) and Iterative, with participation from 500 Global and strategic angel investors.
According to Ghosh, existing backers have shown strong interest in following on, including one investor that increased its stake after the seed extension.
The fundraising plans come amid what Ghosh described as a clearer investment environment for fintechs compared with late 2024.
He said investors are now favouring “proven platforms, scale, positive unit economics, [and a] clear path to profitability”.
Seedflex has disbursed about RM100 million in Malaysia to date and is currently originating around RM20 million per month, with average tenures of 1.5 to two months.
The firm serves over 10,000 MSMEs, double the number six months ago, and reports a non-performing loan ratio of 1-1.5%, supported by automated repayments deducted from future sales.
The company employs 25 full-time staff and expects to reach group-level profitability by the end of the second quarter of 2026.
In Indonesia, where it received regulatory approval last year, Seedflex is taking a pilot-first, partner-led approach, while exploring entry into a third market as a pure technology and risk platform.
Featured image credit: Fintech News Singapore
