PastPay, a Hungarian startup that provides companies buy-now, pay-later providers for invoices, has raised $13.3 million in Collection A funding.
Primarily based in Budapest, PastPay says it offers retailers with versatile cost phrases by way of factoring, a course of wherein an organization sells its accounts receivable to enhance liquidity and liberate money stream.
Corporations usually present invoices for providers, however cost timelines may be tough, with home windows of 15 to 90 days for transfers. As soon as retailers are authorised, PastPay says it offers money to companies awaiting bill funds inside 24 hours — minus fees.
The marketplace for B2B BNPL has been rising as a part of a wider push to digitize funds, with small and medium-sized companies being notably underserved, Benjamin Berényi, PastPay’s CEO, instructed Enterprise Insider.
“We needed to convey an embedded finance resolution to invoicing and accounting programs however discovered the gross sales cycle was lengthy, however within the B2B e-commerce market, issues are rising quick,” he added.
The corporate operates throughout central and japanese Europe, taking in on-line and offline transactions for customers by way of its tech platform. In line with PastPay’s pitch deck, shared with BI, its service is supported in 22 international locations. Startups within the BNPL house have typically seen their fashions in comparison with Swedish funds large Klarna, however the B2B market is totally completely different.
The Collection A funding spherical was led by Platina Capital, alongside backing from MBH Financial institution, Advance World Capital, Quantic Monetary Options, STRT, and BNL Begin Companions.
“Funding wasn’t straightforward. We initially went out after the war started in 2022 however had extra concrete conversations in 2023, and we discovered that we actually clicked with Platina,” Berényi mentioned. “Our method to digitizing monetary options has opened up a number of gross sales channels for us and has helped preserve fraud charges low.”
PastPay’s funding will go towards continued funding in its fraud prevention infrastructure and scaling its providing to new geographies in Western Europe.
The corporate has round 18 workers however expects to double this because it continues to develop, Berényi added.
Take a look at PastPay’s 11-slide pitch deck beneath:
