$1 M funding raised by SA wage access startup Floatpays from Naspers Foundry
Naspers Foundry invested ZAR15 million (US $1 million) in South African fintech company Floatpays as part of its US $4 million investment announced last month. Floatpays is an on-demand earned salary access platform that helps consumers improve financial wellbeing.
Floatpays is a digital platform that offers on-demand access to pay, seamless savings functionality, and financial education to enhance employee financial health. It was founded in 2019 and is a participant in the S21 cohort of the Silicon Valley-based Y Combinator incubator.
Last month, the business revealed that it had raised just under $4 million in an oversubscribed seed fundraising round to help it expand across Africa, and it has now been verified that Naspers, one of the world’s top technology investors, contributed $1 million to the deal.
Since its start in 2019, Naspers Foundry has made three fintech investments and completed nine transactions, including SweepSouth, Aerobotics, Food Supply Network, The Student Hub, WhereIsMyTransport, Ctrl, and Naked Insurance.
“We welcome the support of and partnership with Naspers Foundry that will enable us to fulfil our vision of enabling South Africans to achieve financial well-being. Floatpays provides much-needed access to funds to ordinary people and a growing suite of other financial services, fostering a more productive and healthier workforce with greater financial security,” said Simon Ward, founder and CEO of Floatpays.
On-demand earned salary access, according to Naspers Foundry’s Fabian Whate, is rapidly rising in the fintech sector.
“While still nascent in South Africa, there is significant potential for Floatpays, which is focused on serving the underbanked. We’re delighted to partner with the Floatpays team, who have a proven track record of success in early-stage tech businesses, particularly in fintech,” he said.
