Funds Secures 1.83 Billion JPY in Latest Series E Funding Round, Totaling Over 8.5 Billion JPY Raised

Funds' Recent Series E Funding Round

Funds Inc., headquartered in Shibuya, Tokyo, has recently announced the successful completion of its Series E funding round, raising a substantial amount of 1.83 billion JPY. The lead investor for this round was the SMBC-GB Growth Fund, co-managed by Global Brain Corporation and SMBC Edge, alongside several other notable investors including Asset Management One, PKSHA Technology, and various emerging venture capital firms. With this latest funding, the total amount raised by Funds has surpassed 8.5 billion JPY, affirming its prominent position in the direct financing sector in Japan.

Purpose of Funding and Future Directions

The primary focus of this funding is to foster strategic investments aimed at establishing a robust foundation for what Funds envisions as a global growth investment and lending platform. By connecting dormant capital within Japan to dynamic growth markets globally, Funds aims to facilitate a continuous flow of investment across borders, particularly emphasizing the Asian region's financial markets.

In addition, Funds is planning to leverage its new capital to further its ambitious goal of becoming a global leader in investment and financing solutions. This includes recent strategic moves such as acquiring shares in Asia Money Fintech Company, a Taiwanese consumer finance firm, and setting up a joint venture called FundsQuester (HK) Holdings Limited based in Hong Kong. The funding will also support the establishment of its overseas business headquarters in Singapore, known as FIGC, which will drive growth initiatives in Asia. Moreover, the company plans to invest in technology enhancements to evolve its platform into an AI-native solution and expand its marketing efforts to broaden its user base.

Funds is strategically positioned to harness the substantial pool of over 1,000 trillion JPY in cash reserves sitting idle in Japan's mature financial environment, characterized by relatively low borrowing costs. The company is dedicated to supplying capital to a range of clients, including public and private companies, startups, and individuals. By enhancing its platform, Funds will help address financial inclusion challenges in overseas markets while contributing to local industrial development and economic growth.

Momentum and Achievements

Founded in November 2016, Funds has built a strong track record by pioneering the direct financing platform. Its offerings have reached accolades such as being the No.1 choice for public companies in Japan, having facilitated funding in excess of 100 billion JPY since inception. Notably, Funds has maintained an impeccable record with zero instances of payment delays or principal losses, validating its robust vetting and risk management protocols. The organization is now actively expanding partnerships with major financial institutions to enhance its reach further.

The company is characterized by its continuous growth in diverse service offerings, evident from its reported CAGR of +92% over the past four fiscal periods. Currently, Funds operates under four main business lines, each demonstrating impressive growth trajectories:

1. Fixed-income Investment Service: Funds

Funds provides a fixed-income investment service utilizing direct financing to attract public companies, resulting in significant placement volumes.

2. Venture Debt Fund Management: Funds Startups

Through its Funds Venture Debt Fund, established in March 2024, Funds Startups caters specifically to mid-to-late stage startups aiming to optimize their growth through venture debt solutions, with major banks participating as general partners.

3. Real Estate Business: Funds Real Estate

In just over two years since launch, Funds Real Estate has grown its operations rapidly, achieving a total transaction volume exceeding 21 billion JPY and fostering valuable synergies with its financial platform.

4. Expansion into Asian Markets

Funds launched its Asian headquarters in Singapore while establishing a joint venture in Hong Kong to connect Japanese investors with higher-return opportunities in diverse global markets, particularly in Southeast Asia.

Investor Reactions

Investor sentiment regarding the recent funding has been overwhelmingly positive, with various stakeholders expressing confidence in Funds' mission to alleviate financial anxiety through innovative solutions. The commitment from major financial insiders reflects the growing recognition of Funds as a pivotal player in Japan and broader Asia's financial landscape.

CEO's Vision for the Future

CEO Yuichiro Fujita emphasizes the company's dedication to leveraging its market presence to create sustainable economic cycles. The Series E funding represents not just new capital for Funds but also a vote of confidence in its innovative approach to finance. The potential for continued evolution and expansion within the fintech landscape remains strong, particularly as Funds aims to bring cutting-edge solutions to both local and international markets.

Funds is set to lead the way in developing a unified asset management network that not only meets the needs of investors but also facilitates broader economic growth and development across Asia and beyond.

Upcoming Events

Funds will host a webinar on November 25, 2025, celebrating its Series E funding round with a focus on the innovative financing strategies that support growth companies. This event will offer insights into evolving finance solutions and opportunities for professionals interested in the future of financing growth. Join us to learn more about overcoming barriers to capital access and strategies for financial success.

For additional information regarding our offerings and upcoming events, visit Funds' official website.