The funding will be used for the research and development of financial and commercial tools that address the needs of smaller companies.

The finance will support the company's research and development programme in four key business areas:

• development of next generation's payments infrastructure
• insights and actions through machine learning and artificial intelligence
• digitalisation of commerce processes
• scaling legislative and compliance systems.

iZettle's state-of-the-art technology allows small businesses to take payments, register sales and get funding.

The deal with the EIB was made under the European Growth Finance Facility, which benefits from the European Fund for Strategic Investments (EFSI).

Alexander Stubb, the vice-president of the EIB, said: “This loan is something that the EIB is proud of.

“It stands testimony to EIB's ongoing effort to improve the access to funding for European mid-cap companies.

“iZettle is a young and innovative company which helps digitalise our economy and improves the business and cost structure of millions of small shops.”

Jacob de Geer, CEO and co-founder of iZettle, added: “We're proud to receive this stamp of approval from the EIB.

“It's the type of offer you can't refuse and it will allow us to further accelerate our growth and continue to level the playing field for small businesses, giving them access to tools to take on the big corporations.”