March 6, 2019, China's leading third party electronic contract platform has announced the completion of their C round RMB 398 million financing, which was jointly led by Tiger Fund and Tencent, followed by Yuan Jing Capital and Rui Sheng Investment.
Founded in 2014, Fadada is an open platform that provides online contract management and evidence custody services for enterprises and individuals in the fields of Internet finance and O2O e-commerce.
According to Fadadas website, they have, upto now they served nearly 2,000 large and medium-sized paid enterprise customers, which is 1.3. Billion users signed more than 1.2 billion electronic contracts covering more than 80 kinds of financial, real estate, automotive, human resources services, education, insurance,
In recent years, with the continuous growth of mobile Internet, more and more industries such as finance, education, tourism, rent, logistics and so on have achieved online business innovation and traditional enterprises have also adopted electronic management. The market demand of electronic contract is more vigorous than ever. According to the state administration for industry and commerce nearly 40 million enterprises are registered which that the market potential of future enterprises in the electronic contract is huge. The policies are is also heating up the use of electronic contracts: from 2018, Beijing, Shanghai, Guangdong, Fujian, Anhui, Hubei, Shandong, Xi'an and other local governments have successively issued electronic certificates and electronic platforms. In 2018, the Supreme Law also recognized the value of technologies such as electronic signature, trusted time stamp, Hash Value calibration and; the "E-commerce Law of the People's Republic of China", which was implemented this year, also provides clear regulation about the application of electronic contracts.
Along with the policy trends, Fadada has greatly evolved from cultivating the market to cross-industry penetration. Customers have gradually developed from financial industry and Internet platform to large and medium sized enterprises.
Huang Xiang, the founder and CEO of Fadada says "The demand for electronic signatures has started to grow explosively in all sectors, under the Central Committee's Emphasis on Supply-side Reform and the Deep Development of Industrial Internet, we can clearly feel the increasing need for cost reduction and efficiency. Products and services provided by Fadada, can greatly satisfy the digitalization of enterprises, intelligent upgrade process, efficiency in the electronic and management contract documents, compliance, and multiple risk control requirements. Stable and easy to use products, high quality and perfect services are our core competitiveness to win customers trust".
Tiger Global Fund Partner Lei Huan zhong said, "We are very optimistic about the achievements of Fadada in the vertical segmentation of electronic signatures for many years, the companys great product and service innovation capabilities, ecological layout, head customer aggregation and team understanding of To B enterprise services, and always staying ahead of the industry. We believe in the in-depth development of the Internet industry. Electronic contracts will become the basic contract guarantee everywhere and the effect of electronic contracts will accelerate. We are looking forward to Fadada to export more industry benchmark service cases, and continue to lead the industry".
As one of the leading investors in this financing, Tencent's new round of strategic upgrade focuses on the industrial Internet, and will play the role of “digital assistant” and increase investment in the industrial Internet. The electronic signature products and services provided by Fadada are the general needs of enterprises in various industries. Under the investment assistance of Tencent, the two parties will jointly work on enterprise efficiency improvement and technology upgrade in the future to build an industrial intelligent ecosystem.
In addition, Fadada has also established ecological cooperation with large scale Internet platforms and system vendors at home and abroad such as Microsoft, SAP, Oracle, Kingdee, UFIDA, Mingyuan Cloud, etc., and reached the most extensive ecological layout, through product integration with partners. The electronic contract can be connected with the major enterprises OA, ERP, CRM, e-HR and other systems, allowing a huge number of enterprises to easily access electronic contract services, and further amplify the effect of electronic contracts.
At present, Microsoft (China), Meituan, Ctrip, Tongcheng Travel, Didi, Xiaohongshu, Paipao, Zhongan Insurance, New Oriental, SAIC, Vanke Property, Longhu Group, Poly Real Estate, Red Star Macalline, Xugong Group, Honeywell, China Telecom and other leading enterprises in various industries have already used Fadadas large electronic contracts, and the scale effect brought by these head customers will further stimulate contract electronics of many industry enterprises.
It is reported that this round of financing will be mainly used to rapidly increase market penetration, continue to promote the development and application of cutting edge technology, introduce more outstanding talents, create a customer centered R&D, and build a sales and customer service system.