Invoice financing platform Crowdz picks GoCardless for open banking payments

The SME finance platform will incorporate three of GoCardless' payment features across four markets.

Crowdz is partnering with GoCardless to integrate open banking into its SME invoice financing platform.

The platform says it is looking to enhance its ability to drive equitable access to finance for small businesses with the new collaboration.

Crowdz secured $10m in an investment round led by Citi and Global Cleantech Capital earlier this year, and is now looking to incorporate three payment features powered by GoCardless’ open banking technology.

Crowdz co-founder and CEO Payson E. Johnston said that the company is proud to have provided more than $80m in working capital to SMEs so far, but that this is “just the start”.

“With our global expansion plans and our target of providing 25,000 SMEs with over $1bn in working capital by the end of 2023, we needed a partner that could offer the right coverage, technology and expertise,” Johnston said.

“That’s where GoCardless comes in.”

Crowdz is looking to improve its payment and risk modelling capabilities by using GoCardless’ instant bank pay in the UK, the US and Europe, collecting instant, one-off payments straight from customers’ bank accounts.

In the same markets, it will implement verified mandates for “even greater” fraud protection, and in Australia will use the company’s “PayTo” integration for instant payments and account verification.

 “We’re excited to see our open banking features powering a true disruptor like Crowdz,” GoCardless chief product officer and chief growth officer Duncan Barrigan said.

“Thanks to our global bank payment network, we’ll be able to accelerate their speed-to-market and offer cutting-edge payment solutions, making it that much easier for SMEs to gain access to working capital all over the world.”