Exclusive: Iwoca sees B2B buy now, pay later growth near 250% for 2022
iwocaPay is seeing increasing usage, by increasing numbers of SMEs.
SME lender Iwoca has seen a huge uptick in usage of its iwocaPay buy now, pay later platform in 2022, with average MoM transaction growth of 15 per cent over the last year.
In total iwocaPay is up 246 per cent in terms of the number of transactions between November 2022 and the same period in 2021.
“What's been really interesting is the network adoption now happening among SMEs, so we are now growing pretty much consistently 15 to 20 per cent every month,” Iwoca’s head of new ventures Lara Gilman told AltFi. “We are seeing our sellers are staying with us for longer periods and the third thing is they're actually using [iwocaPay] more.”
“So in the last year, an average individual seller is using us about 75 to 100 per cent more, than they were a year ago.”
The launch of iwocaPay came after Iwoca noticed a substantial number of their Flexi-loan borrowers were SMEs looking to pay a supplier or cover an invoice.
“We just thought that was dumb,” said Gilman. “Why do you have to be in this payment journey, you realise you've got a cash flow problem, leave that journey, go to the market, figure out a loan to solve your cash flow problem, apply for that loan, get funded, come back and then pay. Why can't it be in the same place?”
iwocaPay was the result, an integrated checkout for businesses with a free pay-later option for their customers.
Since its launch in June 2020, Iwoca has expanded the product to include integrations with accounting packages like Xero, meaning SMEs that use Xero can easily include an iwocaPay option on their invoices.
iwocaPay is available to all limited companies and sole traders in the UK for invoices between £150 and £15,000.