A $177 million fintech bet on B2B buy now, pay later ends in shutdown

The shutdown of Hokodo ends access to its trade credit infrastructure for merchants and business buyers who relied on its financing. The European B2B buy now, pay later provider—despite raising $177 million in equity and debt, financing over €500 million in invoices, and serving more than 100,000 buyers across 10 countries—will cease operations in late 2025. Founders cited strategic missteps: taking too long to narrow focus, scaling before achieving sustainable product-market fit, and introducing excessive product complexity. The company had built embedded trade credit solutions integrated with platforms like BNP Paribas, Tide, and OroCommerce, enabling businesses to offer deferred payment terms and invoice protection at checkout. Despite early traction and backing from investors including Anthemis Group, Notion Capital, and Viola Credit, the missteps proved fatal. The founding team is now launching Liquidity Lab, a consulting firm focused on optimizing trade credit and cash flow operations using AI.