Frefins Secures $3.4M Pre-Series A Funding to Revolutionize Rental Finance with AI

Seoul-based rental SaaS platform provider, Frefins, has secured $3.4 million (KRW 5 billion) in pre-Series A funding. The investment will fuel the company’s expansion of its AI-powered rental finance platform, accelerating research and development, talent acquisition, and the enhancement of its B2B2C offerings. The SaaS News and Wowtale reported on the funding round, which closed in February 2026.

Investors Back Frefins’ Vision

The funding round saw participation from a diverse group of investors, including Hyundai Motor Zero One, Korea Credit Guarantee Fund, Honest Ventures, and SG Auto Service. Existing investor Coolidge Corner Investment also contributed a follow-on investment, demonstrating continued confidence in Frefins’ potential. The Korea Maeil Business Newspaper highlighted the participation of Hyundai Motor Zero One and the Korea Credit Guarantee Fund.

Addressing Challenges in the Rental Market

Founded in 2022 by Shin Sang-yong, a serial entrepreneur who previously sold his AI parking management company iPARKING to SK Innovation E&S and NHN, Frefins is focused on transforming the rental industry through its “Rental Transformation” (RX) technology. Wowtale details Shin’s background and the company’s core mission.

Frefins’ core offering, the Frefins Rental Platform (FRP), is a cloud-based SaaS solution designed to digitize and streamline the entire rental and subscription business lifecycle. The platform also aims to build a rental finance ecosystem connecting manufacturers, retailers, and financial institutions, whereas minimizing default risks. Currently, Frefins serves over 200 clients across various sectors, including kiosks, robotics, home appliances, and medical devices.

AI-Powered Risk Management and Financial Access

A key differentiator for Frefins is its focus on risk management. The company obtained an “online loan brokerage license” from Korea’s Financial Supervisory Service in May 2024, enabling it to partner with financial institutions to offer optimized financing solutions to its corporate clients. Wowtale explains how Frefins’ platform facilitates a competitive bidding process for financing, leveraging real-time operational data and AI-powered risk management solutions.

This approach addresses two significant challenges in the rental business: securing capital and managing risk. By providing financial institutions with accurate assessments of rental receivables and asset values, Frefins helps them offer better financing terms to customers, creating a mutually beneficial cycle.

Hyundai Motor Group’s Investment in Innovation

The participation of Hyundai Motor Zero One in the funding round underscores the automotive group’s commitment to investing in innovative technologies. The Chosun Biz reported in May 2025 on Hyundai Motor Group’s launch of the ₩125 billion ZER01NE Fund No. 3, designed to support promising startups.

Key Takeaways

• Frefins secured $3.4M (KRW 5 billion) in pre-Series A funding.
• The funding will be used for R&D, talent acquisition, and platform expansion.
• Frefins’ AI-powered platform addresses key challenges in rental finance: capital procurement and risk management.
• Investors include Hyundai Motor Zero One, Korea Credit Guarantee Fund, Honest Ventures, SG Auto Service, and Coolidge Corner Investment.