Cairo-based fintech startup NowPay has announced it has successfully secured raised US$2.1 million in a seed round funding. The round of financing was co-led by Foundation Ventures and Endure Capital with participation from Beco Capital, 500 Startups (MENA), Plug and Play, 4Dx Ventures, MSA Capital, EFG-EV Fintech, and Ebikar and several investors around the world. Some angel investors including Quirky Ventures, Gehan Fathi and Rolaco also participated in the round.
This new investment brings the startup’s total capital raised to US$2.7 million. NowPAy had previously raised US$600,000 seed fund from investors in 2019.
The fresh funds will in vested in developing the startups platform, acquire new talents on its team, and expand regionally.
Started in 2019 by Mostafa Ashour and Ahmed Sabry, NowPay launched the financial wellness platform in 2019 to enable corporates to offer salary advances to their employees.
In a statement, Mostafa, said, “During the peak of Covid-19 lockdowns, we are proud to have well-known and eminent investors back us, signaling trust in our business concept and our team. Saving, spending, budgeting, and borrowing, are our four pillars of financial wellness. Financial stress plays a major role as a top distraction for employees. NowPay bridges that gap and provides several benefits for employers that choose to proactively address this area of employee wellness.”
“Within a very short period, we are delighted to have managed salaries in excess of US$100 million with a 60 percent month-over-month growth rate,” he added.
Ziyad Hamdy, Managing Partner at Foundation Ventures, a newly established Cairo-based VC, commenting on the investment, said, “There is an asymmetry between expenses and income, which puts a lot of stress on employee’s morale, and hampers productivity. We are thrilled to join NowPay’s incredible team on this journey of empowering employees with the happiness and wellness that financial stability provides.”