Fintech is a driver for business development. Activitis is changing the rules of the game

In 2024, two innovative online solutions for businesses—eDilo and WEAGRO—emerged in Ukraine's financial market. Both were developed by the fintech company Activitis, which has been creating simple and user-friendly financial products for Ukrainian micro, small, and medium-sized enterprises for over 11 years.

These online services enable companies to purchase goods and services on a "buy now, pay later" basis. Meanwhile, the businesses selling these goods receive their money immediately, as Activitis takes on the financing of accounts receivable. The WEAGRO service focuses on the agricultural sector, while eDilo allows entrepreneurs from any industry to quickly purchase goods with deferred payment.

As of February 2025, businesses have submitted 2,178 applications through eDilo and WEAGRO, amounting to over 2.6 billion UAH. Forbes BrandVoice spoke with Activitis co-owners Kostiantyn Zhukovskyi, Maksym Kushnariov, and Yaroslav Smakota about the initial success of these services and the prospects for the development of non-bank business financing.

Speed, Scale, and Business Trust

In less than six months, over 50 companies from various sectors have partnered with eDilo, including agriculture, the food industry, wholesale and retail trade, healthcare, and equipment manufacturing. Among them are SEMPAL, an industrial manufacturer that has been producing energy-efficient equipment for over 30 years, INSORTEX, a company whose equipment innovations are used internationally, and KTS, an online electronics retailer, among others.

"Sufficient and timely financing is the lifeblood of a business, especially for young companies. Thanks to our online installment services, businesses can grow faster and at an affordable cost," says Kostiantyn Zhukovskyi. "Around 70% of all installment transactions come from partner enterprises, while the remaining 30% are from active clients (buyers). The average transaction amount is 1.1 million UAH."

"Overall, the approval rate for applications from entrepreneurs is 57%. For comparison, the market average is around 15%. Why such a big difference? Because we develop solutions based on the needs of our clients, as we understand the challenges businesses face. To achieve this, we conduct extensive analytical work, gathering and considering even the smallest details of our partners' business models," says Kostiantyn Zhukovskyi.

The approval time for a purchase application (time to yes) takes up to 30 minutes. The record time from application submission to fund disbursement (time to money) is 76 minutes.

However, since the launch of the services, there have been not only successes but also challenges. One of them is the seasonality of the agricultural business, which affects WEAGRO’s operations. "Since this factor cannot be controlled, we have been onboarding new partners, expanding the range of supplier categories, and are already anticipating the start of the new season," explains Yaroslav Smakota. "Despite the challenges, agricultural businesses have already submitted over 1,267 applications totaling nearly 1.5 billion UAH, which is a strong indicator."

About the mission

Although non-banking institutions offer faster and more flexible access to working capital compared to commercial bank financing procedures, this market in Ukraine is still in its early stages.

"Technically, joining our services is easy. The main challenge is changing our partners' mindset and helping them understand the difference between credit and factoring," says Maksym Kushnariov. "We strive to explain that it's not complicated but, on the contrary, fast and reliable."

To increase entrepreneurs' awareness of non-banking financing, the Activitis team actively participates in industry conferences, collaborates with international organizations, and has established a Financial Education Center that provides online training on new financial instruments for businesses.

"Factoring is a powerful mechanism for quickly accessing working capital, yet it remains underdeveloped in Ukraine. While in Poland, factoring accounts for up to 15% of GDP, in Ukraine, it is only 0.25% of GDP."

Yaroslav Smakota

Attracting investors

The shareholders of Activitis finance businesses with their own funds, but the company's resources are not sufficient to meet the demands of all entrepreneurs who seek their services. According to estimates from international financial institutions, the potential market for factoring services in Ukraine could reach $18 billion annually by 2029.

"We understand that to fully meet the financing needs of all our clients, we need to attract at least $1 billion," explains Maksym Kushnariov.

The co-owners plan to attract funds through various methods. First, they are negotiating with international financial organizations. Second, they are issuing corporate bonds with a public offering. A new bond series totaling 300 million UAH is already available for purchase, offering a 20% annual interest rate with quarterly interest payments.

"For a financial company, this is another tool for raising funds since we do not have client accounts or accept deposits," says Yaroslav Smakota.

"For us, it is crucial that Ukrainian investors understand that there are investment-attractive businesses in Ukraine where it is both profitable and safe to invest."

Maksym Kushnariov

Activitis' plans for 2025 include facilitating 10,000 business installment transactions worth $170 million through its two services. Additionally, they plan to launch a new service.

"At the end of 2024, we signed a memorandum of cooperation with VisionFund Ukraine, founded by the international corporation VisionFund International. I will only say that this will be an innovative project related to franchise financing in Ukraine. So this year, Ukrainian entrepreneurs can expect even more opportunities for growth," concludes Kostiantyn Zhukovskyi.

Note:

Decision of the National Financial Services Commission on the registration of the financial institution dated 10.09.2013 No. 3139, registration No. 13102885, financial company license issued on 08.03.2024 by the National Bank of Ukraine (decision on license scope change dated 13.01.2025 No. 21/13-rk).

Base prospectus of corporate bonds. Final terms of corporate bonds series "B". Other relevant information regarding the issuance of securities by LLC "FC ACTIVITIS" can be found in the "Information for stakeholders and shareholders" section via this link. Potential investors can obtain a paper copy of the documents at the following address: 13-15 Bolsunovska Street, Kyiv, Ukraine, 01104.

Source: https://forbes.ua/money/fintekh-drayver-dlya-rozvitku-biznesu-activitis-zminyue-pravila-gri-04032025-27237