NextPay, the Philippines’ digital financial solution platform, got $1.6 million for seed finance co-led by Golden Gate and the Sy Family private investment vehicle, the Filippino conglomerate SM Group. NextPay has been a global player in the Philippines.
Tribe Capital, Broadhaven Ventures, 1982 Ventures, Saison Capital, and Razorpay, as well as Rohit Mulani of GoTrade and Abhinay Peddisetty and Chinmay Chauhan of BukuWarung, were among the other investors in the round.
Also co-investing with local CEs, including Kickstart Ventures (Ayala Group), Foxmont Capital, and First Asia Venture and JG Summit Angelinvestitor Lisa, Goodwater Capital has also been invested in Facebook, Spotify, and Twitter.
The cash will be utilised to develop NextPay’s services portfolio, expand its client base and provide new digital banking solutions for micro, SMEs (MSMEs).
“We believe that business banking will continue to digitally evolve, as the Philippines accelerates its digital transformation initiatives. This investment supports our goal of putting the power of big banks in the hands of small businesses,” said NextPay CEO and co-founder Don Pansacola.
“The success of our seed funding exercise will help us accelerate our plans of introducing more meaningful digital banking solutions, including, but not limited to, corporate cards, loans, and integrations with other platforms focused on MSMEs. We will also be hiring more talent to make the NextPay platform more comprehensive, simple, and easier to use and avail of,” NextPay Chief Experience Officer and co-founder Aldrich Tan said.
Launched during the 2020 pandemic, NextPay is a web-based, unserved clients with quick and cheap financial access,” including digital invoicing, cash management, and batch payments to any Philippine bank or e-wallet.
The start-up is a substitute for small enterprises and businesses in the Philippines for their bank accounts. The platform allows firms, using digital factors, to accept consumer payments and to administer the cash and pay bills to any bank or e-wallet to its staff, suppliers, or batch companies.
The startup is on a pay-per-use model and requires no setup fees, balance, or high demands.
NextPay’s digital transactions in excess of US$9.1 million have been completed by over 100 companies with 3,500 workers since its inception.
Earlier in April, as part of the Y Combinator Programme, NextPay earned $125,000 of pre-seed financing.
“Managing your businesses’ finances efficiently and confidently is mission-critical to success, and NextPay is building industry-leading digital banking solutions for SMEs to better manage their finances: from payroll to collections, to invoicing,” Golden Gate Ventures Partner Justin Hall said.