French startup Wavo has secured €10 million in equity funding to address a structural cash flow challenge for growing companies. The round was led by Eurazeo, with participation from Axeleo Capital and HUB612, the Lyon-based accelerator where Wavo spent two years. The company offers an inventory financing platform that lets businesses unlock capital without taking on debt.
A Working Capital Paradox
Wavo's cofounder and CEO Julien Decherf describes the core issue as a paradox: the more a company sells, the more inventory it must finance and the more cash it ties up. After a decade as an investment bank trader specializing in complex interest rate products, Decherf wanted to build something for the real economy. He saw that inventory financing tools used by large corporations remained out of reach for small and medium-sized enterprises.
How the Platform Works
Wavo connects to a client's inventory management system regardless of the ERP, with no development required on the client side. Artificial intelligence agents analyze stock rotation, product value, and cash cycles. The company then buys the inventory and pays immediately, while the goods remain with the client, which repurchases them as sales occur.
The startup does not lend money or charge interest, which distinguishes it from traditional lenders and makes the offer particularly attractive to growing firms. Instead, it collects a commission at repurchase, so a product bought for 100 is repurchased for between 102 and 105. Julien Decherf explains that the cost is aligned with the level of risk the company assumes.
Early Traction and Market Fit
In two years, Wavo has worked with around 100 companies in both B2C and B2B segments, from retail to industry. The platform has financed nearly €35 million of inventory, representing close to €100 million in sales for its clients. It reached €1 million in revenue in less than a year with a lean team.
The current transaction size per business ranges from €200,000 to €2 million, and Wavo aims to double those amounts over time as it scales. Its clients use the financing for business acquisitions, new product listings, and seasonal peaks across sectors. The company says it can provide access to funding within 48 hours, which speeds up decision making.
Investor Backing and Expansion Plans
The €10 million round was raised entirely in equity, a notable achievement in a more difficult fintech funding environment. Julien Decherf says Wavo convinced major investors through its business model and speed of execution, despite broader market caution. The round attracted Eurazeo, Axeleo Capital, and HUB612, the Lyon-based accelerator where the startup spent two years.
Wavo's leadership includes cofounders with proven startup and technology experience, which has reinforced the company's execution capabilities. Adrien Plat previously cofounded Indy, and Tanguy Clerget held a role at Jellysmack, bringing operational knowledge to the team. Julien Decherf says the company recruits mostly experts who have already navigated similar scaling challenges and can move quickly.
The capital will support platform development, recruitment, and international expansion, starting in Northern Europe and potentially the United Kingdom. The team currently has 16 people, with plans to reach between 20 and 25 by the end of 2026 and around 50 by the end of 2027. Wavo's goal is to serve approximately 500 clients by the end of 2027.
With this new funding, Wavo is positioning itself to become the leading solution for inventory financing and ownership for businesses in Europe. The company is taking another major step forward while maintaining its core ambition to help growing firms finance operations without adding debt. Its ability to combine technology, speed, and flexible capital could make it a significant player in working capital finance.