Remagine receives 20 million euros

The start-up now wants to pass on some of the money it has raised to start-ups in the form of loans. To do this, it is relying on a new type of financing.

Remagine has raised €20 million in a seed round. The sum consists of both debt and equity. The startup does not break down the distribution, however. The largest financier is an institutional investor from Great Britain, who wants to remain unnamed, at least that's what the Handelsblatt

writes. In addition, there are business angels, for example, Jonathan Weiner, former global head of Google Payment, and the former chief operating officer of Paypal company Venmo, Michael Vaughn.

Remagine relies on revenue-based funding as its business model. Remagine itself lends money to startups and charges a fee. Borrowers also agree to cede a portion of their revenue, rather than shares as is usually the case. A portion of the funding round is expected to flow into young companies accordingly. "We founded Remagine to solve two problems," co-founder Sebastian Dienst tells Handelsblatt

. "We want to offer founder-friendly financing that doesn't rely on participation, and at the same time be a good banking partner for startups."