Vietnamese fintech startup MFast raises $ 2.5 million in funding from Ascend Vietnam Ventures

The Vietnamese financial services app MFast announced on Monday that it has raised $ 2.5 million in a financing round led by Ascend Vietnam Ventures with the participation of Wavemaker Partners and existing investors Do Ventures & JAFCO Asia.

MFast said in a statement that with the new funding, it is actively hiring talent across different areas, including technology, marketing and sales, to upgrade the platform, expand the agent network and implement new business models.

This new capital will be used to develop technology and data analysis systems that can generate consumer credit ratings, expand MFast’s affiliate network and experiment with new business models.

This new technology will increase automation in the evaluation, assessment and approval of financial products for consumers. MFast also plans to expand to other Southeast Asian countries.

“To achieve our growth goals, we actively employ across technology, sales and marketing and human resources. With long-term personal growth as a key management principle, we invest heavily in technical training and soft skills development programs for our employees. In addition, we strive always after creating a “home in the office” environment for the team, says Phan Thanh Vinh, MFast co-founder and chief technology officer.

“In our young but fast-growing fintech company, everyone has the opportunity to raise their voice, contribute ideas and be recognized for their achievements. MFast’s team members work with each other as brothers and sisters. They follow not only their bosses, but also the senior team players,

“They not only work with their partners, but also shake hands with like-minded people. This spirit explains why more than 50 percent of our employees have been with MFast for 3 years and more, says Phan Thanh Vinh.

MFast was born after founders Phan Thanh Long and Phan Thanh Vinh observed a major problem in rural Vietnam – nearly 70 percent of Vietnamese rural population has limited access to banking, insurance and credit-related services.

Due to a lack of financial expertise and credit history, this population faces a number of challenges in accessing financial services and is often a victim of predatory services from the gray and black markets.

In September 2020, MFast was launched to address this pain point by connecting reputable financial and insurance institutions to its nationwide agent network. Its agents introduce, train and distribute financial products to end customers in rural areas.

According to the statement, anyone is eligible to become an MFast agent, and based on their abilities, they can participate in one or more sales stages, such as customer acquisition; financial product consulting; customer support; or after-sales services.

“With a nationwide agent network, MFast reaches underserved populations, helping them overcome challenges in accessing financial services and breaking down prejudices against insurance – a crucial aspect of a developed society. At the same time, we create benefits for our agents and partners,

“MFast provides agents with opportunities to earn extra income while helping partners expand their insurance and financial services in peripheral and rural areas,” said Phan Thanh Long, CEO and co-founder of MFast.

By using the MFast app, agents are equipped with all the necessary knowledge and tools to do their job. MFast also digitizes the entire work process, and replaces cumbersome paperwork and procedures related to banking.

As a result, MFast shortens the approval and payout window, providing the best experience to end customers and agents.

MFast has entered into collaborations with several reputable financial institutions, including FE Credit, Home Credit, Mirae Asset, SHB Finance, CIMB, MCredit, EasyCredit, PTF and VIB. Regarding the insurance category, MFast established partnerships with BSH, VNI, PTI, PVI, Opes and VASS.

After just two years, MFast has helped almost 600,000 people (almost 80 percent of them live in rural areas) with access to financial and insurance services. It has also increased revenues for more than 92,000 agents across 63 provinces in Vietnam.

“Agent banking networking is a long-proven approach to expanding access to financial services to people in rural and suburbs across the global south. MFast’s proven execution on a tech-first foundation enables scaling across the country – and potentially beyond. We look forward to to help MFast achieve their full vision, ”said Thao Nguyen, Senior Investment Manager at Ascend Vietnam Ventures.

Saigon Asset Management invests in the Vietnamese FinTech company Anfin