Financing by ACE & Company, Techstars Ventures and several of angel investors will help drive expension into new markets.
London/Geneva, 1. May 2015. - DoPay, the company whose mission is to become the ‘day-to-day’ bank in markets with largely unbanked and financially underserved populations, has secured $2 million in seed funding from ACE & Company, Techstars Ventures and a syndicate of angel investors working for leading banks, private equity funds and hedge funds. The funds will further the launch of the company’s services in Egypt and help drive expansion into new markets in the Middle East, Africa and India.
Currently, two billion people worldwide have jobs but no bank account. This means they are cut off from even the most basic financial services. Companies that employ these people feel this acutely, they have to manage huge amounts of cash, which is costly and inconvenient.
DoPay is committed to transforming the lives of the unbanked and underserved, as well as their employers by breaking the cash cycle through a payroll and cash management service for companies, and by offering a full mobile banking experience for consumers.
“We strongly believe that building communities through financial inclusion gives developing economies the momentum to let individuals realize their dreams”, says dopay founder Frans van Eersel; “this funding will help us launch in Egypt and West Africa, explore other markets, as well as bring more features to the card and app that will simplify and better people’s lives.”
Commenting on this participation to dopay’s seed round, Charles Lorenceau, ACE’s managing partner said, “ACE is delighted to have participated in dopay’s seed round, following the first edition of the Barclays Accelerator programme in London in 2014. With a local presence in Egypt - dopay’s first operating market, ACE has first-hand knowledge of the region and intends to support dopay’s development across emerging markets.
DoPay perfectly reflects ACE’s collaborative approach to investment -- from ACE’s early involvement in a leading incubator program, to its deep understanding of the local environment allowing it to carry out swift due diligence over the investment opportunity. Going forward ACE will continue to support dopay’s operations by introducing the company to potential clients and assisting its expansion into new markets.
DoPay was part of the first cohort of the Barclays Accelerator, powered by Techstars program in London. The company works closely together with leading bank and card partners such as Barclays and VISA in Egypt to create strong financial communities that offer life-changing benefits to its members. Together with these partners, dopay will continue to add new ways for the previously ‘unbanked’ and ‘underserved’ to grow in prosperity.
DoPay’s mission is to become the ‘day-to-day’ bank in markets with largely unbanked and financially underserved populations. It provides a cloud-based payroll service that allows employers to calculate salaries and pay all employees electronically. Unbanked employees receive their salary in a DoPay account, which comes with a debit card. Consumers can manage their ‘day-to-day’ finance with the dopay app, which gives users instant and real-time access to their balance. It also lets users top-up their prepaid mobile and send money, anywhere anytime. Egypt is the company’s first operating market.
About ACE & Company
ACE & Company, co-founded in 2005, is a global private equity group specialized in co-investments. By combining the in-house team capabilities with those of their partners, ACE is able to source, provide due diligence and execute on superior investment opportunities. This collaborative vision allows for a more efficient diversification across the different investment stages of private companies globally. Within this broader set of opportunities, the company strives to facilitate the efficient allocation of capital to the most attractive industries and markets on a risk-adjusted basis. ACE aims to actively improve investment returns by adding strategic value to both its portfolio companies and sourcing partners by leveraging its broad investment knowledge.
About Techstars Ventures
Techstars Ventures (formerly Bullet Time Ventures) is the venture capital arm of Techstars. They have $265 million under management and are currently investing out of their third fund totaling $150 million which is focused on Seed and Series A investments. They primarily co-invest alongside venture capital and angel communities in Techstars accelerator program graduates, new companies started by Techstars alumni, and companies formed by Techstars mentors.