Fintech startup Payable has just secured about €6 million to reimagine payment processes for the modern internet economy. The London-based team is now ready to launch its platform and expand to international markets.
The world of payment operations is far more complex than one might think being on the outside of the process. Dealing with an array of payment methods and software tools, many finance teams find themselves working inefficiently and unduly stressed.
It’s something that co-founders Daniel Yubi and Raz Musca discovered whilst working at Checkout. Based on their experience, the duo built Payable – to streamline payment operations and automate business bank transfers for the internet economy.
Daniel Yubi explained: “It is one of those problems you don’t notice until you are working directly with the finance operations team and see their challenges firsthand. We literally watched them use a spreadsheet with one hand to count payments and cash with a bank file on the other hand to manually send money to their customers. It was both inefficient and antiquated. Once we saw the problem, we knew there had to be a better way and became determined to create it.”
The London-headquartered company, which operates remotely, has now raised a €6 million seed round.
The round was co-led by CRV and Earlybird Venture Capital with participation from Conversion Capital, Clocktower Ventures, and angel investors including Francesco Simoneschi CEO of TrueLayer, Hristo Borisov CEO of Payhawk, Nik Milanović founder of This Week in FinTech and the FinTech fund, Bitpanda founders, Dileep Thazhmon CEO of Jeeves, and many other founders and operators in the space.
Seamless money management
Aiming to modernize and update processes for finance teams, Payable solves payment reconciliation for companies’ data-matching products and integrating with corporate bank accounts. It provides both an API and a dashboard that enables marketplaces, lenders and fintechs to manage money movement from a single interface.
Currently, companies have to deal with bank files such as EBICs and spreadsheets and use engineering and finance professionals to understand why payments happened. This becomes increasingly difficult as companies scale.
Daniel Yubi: “Today, it is easy to accept payments but to understand where money is, it is quite difficult. The vision we have for Payable is that any product manager in a company is empowered to launch a new fintech product, a product that ‘moves money”’ without freaking out their finance team.”
Building payments operations software requires unique technical expertise at the intersection of payments, banking and finance. This is where Payable is able to stand out, owing to the team made up of experts from the likes of Checkout, Truelayer, 11fs and Stripe. It’s certainly what got investors’ attention.
As highlighted by James Green, partner at CRV: “What excited us most about investing in Payable is that Daniel understands the core problem fintechs struggle with and have created a platform that can automate the entire payment lifecycle. We have tremendous confidence in their ability to deliver on their mission as they have assembled a team with similar backgrounds coming from companies such as Curve, TrueLayer, 11FS and Stripe.”
Tim Rehder, Partner at Earlybird, added: “As we got to know Daniel and his team over time, it became clear to us that the founders have lived the pain point and possess the domain knowledge to build the best product to solve it. The team’s vision redefines the possibilities enabled by automating money movement.”
Now, with this fresh capital raise, the fintech innovators will scale the company and add new integrations with banks across the United Kingdom as well as expand its coverage to other European countries beyond the U.K.