Codat launches in US, lands new cash from PayPal and American Express

Financial API provider Codat has received new strategic investments from PayPal Ventures and American Express Ventures, as it formally launches its U.S. operations.

Founded in London in 2017 by Peter Lord (CEO), Alex Cardona (COO) and David Hoare (CTO), all former MarketFinance colleagues, Codat connects banks and fintechs via a single API to access real-time SME customer data.

These include lenders, insurers, payments provider and those offering point of sale software, corporate cards, debt collection, venture capital, automation, and expense management. One notable customer is Zettle (formerly iZettle), itself acquired by Paypal in 2018. Codat’s technology transfers its point of sale transaction data into their merchants' accounting software. 

Peter Lord,Codat’s founder and CEO, said: “It’s clear that small businesses are the backbone of global economies, and in the next few years, we believe there will be a dramatic acceleration in the quality of financial products they are offered. We believe it starts with an industry-wide shift from siloed data to a more connected ecosystem. Our new investors further fuel our ambition to improve operations for SMBs everywhere.” 

Codat’s$10m Series A last year was led by  Index Ventures, who also back a number of high-profile fintech firms including Robinhood,Plaid,Revolut and TransferWise.