Philip Kelvin and Beau Allison
New B2B ‘buy now, pay later’ emerges from stealth
Tranch's new funding round is led by Flash Ventures and Global Founders Capital.
Tranch, a buy now pay later (BNPL) platform for SaaS sellers and professional services providers, has raised £3.5m ($4.25m) in pre-seed equity and debt funding to bring payment flexibility to a wider pool of B2B customers.
It uses credit risk modelling and open banking data to allow B2B customers to acquire SaaS contracts upfront at a cheaper annual rate while still paying in instalments.
“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,” he said.
‘Pay with Tranch’ solves that huge and costly problem, by putting flexibility and choice at the heart of the payments process in a way that works simply and favourably for both suppliers and buyers.”
The funding round is led by Flash Ventures, Global Founders Capital and includes a debt facility from Columbia Lake Partners. Tranch will also join Y Combinator’s Summer 2022 cohort as the London-based startup gears up to launch in the US later this year which comes with a $500,000 investment.