UK FinTech GoCardless Raises $95 Million Led By Bain
U.K. FinTech GoCardless has raised $95 million in a Series F funding round led by Bain Capital Ventures.
“This funding round demonstrates the strength of the business and the confidence both our customers and investors have in GoCardless,” Hiroki Takeuchi, co-founder and chief executive officer of GoCardless, said in a press release on Thursday (Dec. 17).
Takeuchi added that it is especially rewarding to grow and help customers “in such challenging times.”
Specializing in recurring payments, the startup has raised $240 million to date and supports over 55,000 businesses across the globe. The new funding follows year-on-year growth of 46 percent.
“In particular, we’re seeing strong early results as GoCardless moves beyond SMBs to serve mid-market and enterprise customers and expands its international footprint to address a growing need for bank debit processing. We have enormous confidence in Hiroki and the entire GoCardless team to build a multi-billion dollar company that will redefine the payments industry,” said Matt Harris, partner at Bain Capital Ventures.
GoCardless will use the new funds to accelerate the company’s open banking strategy, enabling merchants to transparently and quickly process instant payments. GoCardless will also expand into eCommerce and launch bank-to-bank payments as a lower-cost alternative to cards.
The London startup specializes in taking “the pain out of getting paid for businesses of all sizes” including big corporates like Docusign and up-and-coming businesses like Brompton Bike Hire and Bridgestone’s MOBOX. Annually, GoCardless processes over $18 billion in payments across over 30 countries.
“We believe that open banking is set to disrupt the payment landscape by introducing new, simpler and more secure ways of making bank-to-bank payments that will compete with the traditional card networks. Our investment in open banking innovation will create a uniquely valuable payment offering — continuing to provide our customers with the best way to collect recurring payments,” Takeuchi said.
PYMNTS October B2B Data Digest indicated some 60 percent of invoices are paid late.