Microbusinesses and sole traders have faced multiple challenges when taking payments from customers, including the need to invest in clunky and expensive hardware and additional fees. Contactless payments are rising and constitute a quarter of all UK payments. And with an estimated 3.2 million sole traders in the U.K., making up 75% of all businesses, the need for a frictionless solution is more urgent than ever.
To combat the situation, London-based cashless payment solutions provider for businesses Dapio has raised $3.4 million funding. The capital will fuel the launch of its ‘Tap to Pay’ solution for Android users in the U.K. and Europe. The funding was led by Flutterwave with participation from Techstars, PactVC and Daniel Gould, venture partner at Asymmetry Ventures.
Founded in London in 2019 by Kosta Du and Grigory Gurbanov, Dapio, formerly Paymob, allows businesses to accept cashless payments quickly and securely store, over the phone or on the move, anywhere in the world. The company will soon launch its first direct-to-customer Android app to allow any business to instantly accept contactless payments with the tap of a card or mobile phone, without the hassle and cost of card scanning equipment.
Kosta Du, CEO and co-founder, Dapio said: “Tap to Pay has shown the world you don’t need complicated or expensive hardware to take frictionless payments. We aim to open this up to Android users across the U.K. and Europe. In doing so, we’re helping businesses grow faster, by taking the pain out of complex payment systems so founders can focus on improving the customer experience and developing their business.”
The company partners with POS (point of sale) vendors, banks, telcos and other fintechs and payment platforms who integrate its tech to offer their merchant customers ‘Tap to Pay’ facilities, as part of its embedded finance solutions. Its current partners include ZmBIZI and Payment Plus.