Levr.ai raises $1 million in seed funding round

Levr.ai, a Vancouver-based loans software platform, announced today that it’s raised an additional $1 million — bringing its total funding to over $2.6 million. The seed funding was through a follow-on investment from VC firms, Weave and Sprout Fund II, and several undisclosed investors.

To date, Levr.ai has helped over 2,000 small businesses across Canada and the U.S. The company plans to use the funding to expand its reach across both countries. Levr.ai also hopes to continue to support small business owners, catalyze economic growth, and foster a more resilient entrepreneurial ecosystem.

“By harnessing the power of AI and data analytics, Levr.ai is empowering entrepreneurs with accessible and tailored funding solutions to drive business growth at a critical time,” said Kaylan Pepin, Levr.ai’s co-founder and CEO. “We’re building AI for the small businesses that big banks struggle to service and tech startups often ignore.”

Why it matters

It’s widely known that small businesses have a significant impact in driving Canada's economy. They employ over 5 million in Canada, while the number for medium-sized businesses is around 2 million, and for large companies around 4 million. Yet, one of small businesses’ biggest challenges remains accessing capital — hindering their growth potential.

According to the non-profit Canadian Federation of Independent Business (CFIB), small businesses’ financing applications get rejected more often than applications from larger businesses. In 2022, only three in four were approved, while nearly all were for medium-sized businesses.

Adding to the struggle was the Jan. 18 deadline for businesses to repay their Canada Emergency Business Account (CEBA) loans. Across Canada, 89 per cent of small businesses took out a CEBA loan, and about 23 per cent in B.C. expressed being unable to pay it back on time.

How Levr.ai works

Levr.ai sights on scaling come at a critical time. Built on AI and ML algorithms, Levri.ai’s platform makes it easier, faster, and more accessible to find, apply for, and manage loans.

Notable features leveraging tech include receiving suggestions on lenders, loan types, and the likelihood of success with each one, customizing loan packages to meet unique needs, and expediting the application process through autocompleting information. 

Small businesses can sign up for a free account and browse through lending options from over 40 lenders with a wide range of options — including merchant cash advances, receivables financing, business term loans, and venture debt.

What’s next

Levr.ai can potentially be at the forefront of the AI wave in the lending space.

Driving the platform's innovation is an impressive team. Pepin has worked at a few of Canada’s largest banks, RBC, CIBC, and BDC. As for his co-founder, Roman Hartmann, he has plenty of experience in data, AI, and machine learning at notable SaaS companies, such as MacroHealth and Unbounce.

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