Online financial services have been booming since the beginning of the Covid-19 crisis. After Swedish startup Tink raised 85 million euros last week, it is now the turn of British FinTech GoCardless to raise 95 million dollars in Series F to finance its open banking strategy. This round of financing, led by Bain Capital Ventures, comes nearly two years after the startup’s latest €75 million financing round. The transaction brings GoCardless’s total financing to $240 million, still a far cry from the $1.6 billion of its U.S. competitor Stripe. Nevertheless, the UK FinTech is now valued at around $970 million, making it almost a unicorn.
Launched in 2011 by Hiroki Takeuchi, Matt Robinson and Tom Blomfield, GoCardless is developing a financial services platform for businesses, SMEs and large corporations alike, enabling them to simplify the processing of recurring direct debit payments. The startup has designed a solution that integrates with international direct debit networks such as SEPA in Europe or ACH in the United States to manage recurring direct debit payments.
A model that has attracted more than 55,000 companies worldwide, all the more eager to digitize payments in times of pandemic. Among its clients, the startup includes Docusign, Doctolib and Sowee. London-based FinTech currently processes $18 billion in payments per year in more than 30 countries. In spite of the economic crisis linked to Covid-19, GoCardless claims a 46% growth, with a 100% increase in the number of orders in 2020, and intends to continue its development thanks to its new funds.