PayDay Raises $3 Million In Seed Funding
The African neo-bank offers its virtual cards and other products to more than 300,000 users and processes an average of 40,000 transactions daily and over $25 million monthly.
Payday said it raised $3 million, money the platform intends to use to fuel its “future of work” initiative through borderless payment alternatives in major currencies.
The fintech ended 2022 with slightly over 100,000 users, it now offers its virtual cards and other products to more than 300,000 users. Payday also processes an average of 40,000 transactions daily and over $25 million monthly.
Favour Ori, Payday founder, said: “We are building TransferWise for Africa; we want our customers to move money faster with the bank accounts and cards we issue. Other platforms focus on Africans in the diaspora; we’re focusing on people in Africa while planning to focus on those abroad by expanding to the U.K. We were the first startup to start issuing virtual accounts in Africa around June 2021. We’ve done this for over 20 months and know what works and understand our market and users.”
Tosin Eniolorunda, Moniepoint CEO, said: “At Moniepoint, we’re excited about the unique things Favour and the team are doing with PayDay. Personally, I connect deeply with his drive, technical depth, and desire to execute. This is something that isn’t very common, and the urge to encourage that fire inspired us to want to be a part of this.”
“There’s also the alignment in our goal to provide financial happiness by addressing key international payment pain points with merchants and individuals. We see a potential to leverage their infrastructure further to deepen our suite of financial services for merchants as well, and we’re looking forward to all that’s to come,” Eniolorunda added.
Payday will now look to secure operational licensing in the U.K. and Canada while building out operations in the former, where the startup has recently been incorporated.