PayMate is a Mumbai-based startup. It helps businesses automate and digitize their payments. PayMate raised $25 million in the current new round. PayMate Gets Visa Investment. It is Paymate efforts to expend its existence in India and also international markets.
PayMate has raised a substantial amount of the $25 million it is eyeing in its Series D. The funds came from various businesses. They are Recruit Strategic Partners, Brand Capital, Visa and also existing investor Mayfair 101. PayMate’s CEO mentioned he expects the round to close in 60 days.
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PayMate raised $18 million prior to the Series D. With the money they have collected, they began its journey as a consumer-facing payment service. However, it has now shifted its focus to the business-to-business payments market.
What is Paymate
PayMate is India’s first mobile payment provider. It was launched in the middle of 2006.
The 13 year old startup, today develops and offers cloud-based solutions for SME and enterprise customers. PayMate aims to help them manage invoices and payments from vendors and customers. It has now worked with Visa and issuing banks to offer credit and financial options to customers.
Last year, PayMate acquired Z2P Technologies. Z2P Technologies is a startup that offers lending technologies. They provide easy microloans and enable financial decisions for lenders. They use data and technology to make low-risk and real-time lending decisions.
With the acquisition, PayMate planned to bring a lending stack on its platform. It looks at transactional data on its platform to score SMEs and offer them credits from third-party lenders. PayMate also serves as a discounting marketplace, allowing large enterprises to electronically negotiate offers with SMEs.
In India, small and medium businesses enthusiastically welcome PayMate service. that happens because they often struggle to secure financing options from major banks.
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Banks in India are still collateral-based. The transactional data offered by Paymate helps many businesses to escape that problem. Besides, Paymate also helps establish transparency and trust between all the stakeholders.
The startup has more than 35,000 business customers that use its platform to process more than $5 billion in payments each year.
