Stellenbosch-based FinTech startup Paymenow today announced it has concluded an initial equity investment round with ViaMedia (part of the Digital Ecosystems Group) for a R4 million equity stake.
Paymenow offers financial inclusivity through responsible early access to the wages platform, enabled via a secure mobile app, developed specifically for the South African market. Paymenow uses gamification to drive financial education and inclusion amongst its users and is working with South African employers to help move South Africans out of a vicious debt cycle and into a savings mindset.
“This equity investment round will bring about operational cash flow in the short-term, while we aim to reach operational break-even by the end of the fiscal year,” says Paymenow MD and co-founder Deon Nobrega.
“Our business model and product, which entails a fully integrated business to business to consumer tech platform, has passed minimum viable product status and is ready to scale.”
Paymenow co-founder and business development head Bryan Habana says Digital Ecosystems Group brings a strategic partnership from a business enablement perspective as well as access to funding and working capital.
“ViaMedia and the Digital Ecosystems Group will enable us to draw down on a wealth of product and operational expertise as well as access to a funding book that will allow our business model to scale locally as well as to the rest of Africa and Latin America,” he says.
Joint Digital Ecosystems (DigiCo) and ViaMedia CEO, Garth Mackintosh says PayMeNow further enables and accelerates DigiCo’s mobile financial services strategy.
“We are excited to welcome Paymenow to ViaMedia, and more broadly, to our stable of ICT companies. We see fantastic growth prospects and complementary product offerings and clients across many of our group companies.”
Digital Ecosystems – previously Blue Label Mobile – houses a variety of complementary tech companies that provide an ecosystem of products and services to mobile phone users.
It enables the rapid rollout of mobile-mediated sales, financial services, banking, couponing, loyalty programmes, rewards, omni-channel communications, OTT services, ticketing, transport, media advertising, lifestyle, education, informational and entertainment content, streaming music and video, mega promotions, gaming and location-based services through companies like ViaMedia, Cellfind, Hyve Mobile, Airvantage and other subsidiaries and investments.