Modulr, the U.Ok. fintech that gives ‘Payments as a Service’ as a substitute for business and wholesale transaction banking, has secured £18.9 million in progress funding. Leading the spherical is Highland Europe, with participation from current traders together with Frog Capital.
Modulr says the injection of capital shall be used to additional develop the funds platform and develop into new merchandise and markets, together with European growth. It brings the entire raised by the corporate to only over £43 million, not together with a £10 million grant from the Capability and Innovation Fund (pdf).
“We are fixing the issue of relationship and technical entry to business and wholesale transaction banking,” co-founder and CEO Myles Stephenson tells TechCrunch. “We’re offering a whole various to utilizing a financial institution for funds: expertise, regulatory permissions and direct entry to the fee schemes”.
Last 12 months, this noticed Modulr grew to become one among just a few non-banks to achieve direct entry to Faster Payments and Bacs, the 2 principal U.Ok. financial institution funds schemes. The fintech can also be a “principal” issuing member of Visa.
“We see ourselves because the plumbing layer behind the scenes – delivering the funds infrastructure that permits different companies to automate fee flows and reconciliation, embed fee flows inside their platform and construct completely new fee providers for his or her prospects,” provides Stephenson.
To date, companies throughout lending, fintech, various banking, accounting, journey and extra have processed over £25 billion in funds via the Modulr platform, which counts Revolut as one among its largest prospects. Other companion shoppers together with Sage, Liberis, Salary Finance and Iwoca.
In phrases of competitors, Stephenson says Modulr is often changing “the fee providers present by a financial institution mixed with a expertise service corresponding to Bottomline Technologies”. (Although, in fact, there are different fashionable funds as a service suppliers, together with challenger financial institution Starling).
“What we predict makes us stand out is our sole concentrate on being a B2B and infrastructure supplier with entry to, and belief of, key regulators and fee networks/schemes,” he provides. “This means we have now the identical degree of entry to fee schemes as a financial institution offers, however backed by our resilient, dependable and highly effective API platform”.