INSUBCONTINENT EXCLUSIVE:
This morning Finix, a software-as-a-service (SaaS) startup selling payments tech to other businesses, announced that it has raised a $35
Sequoia led the round, which also saw participation from new investors Activant Capital and Inspired Capital.Finix did not disclose a new
valuation as part of its round, and declined to share any growth metrics regarding its business
of its Series A, a $17.5 million round from July of 2019 led by Bain Capital Ventures; Insight Venture Partners, Aspect Ventures and Visa
also took part in that round
Adding to the list, Homebrew invested in the company during its infancy
doubling its staff by the end of the year
regular software fee, along with a sliding fee depending on the number of payments they process.Not taking a percentage cut of transactions
opens up interesting revenue opportunities for Finix customers
players:Historically the distribution of payments has been fairly fragmented and almost bolted on
So if you signed up for someone like a MindBody as a yoga studio, you would then go and set up a partnership with FirstData or WorldPay to
start accepting payments on that platform
In that model, someone like a MindBody would make a few basis points on every single transaction
By bringing their payments back in-house, and offering a more comprehensive, all in one solution, they can actually take more
own a company called, say WeaveBasket, and that it sells SaaS software to underwater basket weaving instructional studios, helping them
manage client booking and the like
weaving studio can only generate so much margin with which to pay costs
But if you set up WeaveBasket to help underwater basket weaving studios to also accept payments for classes through your software, you can
on a SaaS basis will attract legion uptake by companies of all sorts
and his company wants to be the engine behind that change.The betThe payments world is stuffed full of players at different points of the
transaction stack, including processors, banks, card networks and payment facilitators like Lightspeed and Stripe
that has generally done well in the technology world in recent years
Twilio took telephony and boiled it down into APIs
Plaid did the same thing with consumer finance
Finix, it seems, wants to let anyone who takes lots of payments to be able to reduce their relationship load, control costs and perhaps
drive more revenue.The startup now has the capital with which to bring its vision more fully to life, but domestically and abroad
performance in the future.
