Buy-now pay-later firm Tranch poised for US push after cash injection
Business to business buy-now pay-later firm Tranch is poised for a move into the US this year after bagging a £3.5m funding injection, the firm revealed today.
London-based Tranch, which allows firms to defer payments across areas like software and professional services, is now looking to tap into swelling demand for deferred BNPL payments, which have boomed in popularity among consumers.
“Business are ultimately similar to consumers because they are run by consumers – and they want that same flexibility in their payments,” boss Philip Kelvin told City PM
“My time as a scaleup CFO made me realise just how inflexible payment options can be for crucial SaaS tools and other business services, and how detrimental this lack of choice and payment ownership can be on thousands of companies.”
Research by Tranch found that firms waste $20bn a year globally by paying premium monthly fees rather than paying as a one-off.
Tranch’s fresh funding, led by Flash Ventures alongside Global Founders Capital, will now be channelled into a US expansion, as well as bolstering the firm’s team in the UK.
Tranch’s cash injection comes amid a boom in investment in firms offering B2B BNPL payments, with Swedish firm Treyd raising £8.4m in a Series A round last week to fuel a push into the UK.