HitPay has almost everything SMEs need to run their business.
It is not only an online payment gateway, but also provides tools such as point-of-sale software with card readers, plugins, payment links and online stores with no code.
The Y Combinator alum announced today that it has raised $15.75 million in Series A financing led by Tiger Global, with the participation of returning investors Global Founders Capital and HOF Capital. It is currently used by more than 10,000 merchants in Singapore and Malaysia, with plans to expand into more Southeast Asian markets, including Thailand, Indonesia and the Philippines.
Co-founder and CEO Aditya Haripurkar told gotechbusiness.com HitPay started in 2016 as an e-wallet, but turned in 2018 towards an SMB-focused platform as a virtual POS product. As the team began to better understand the needs of SMEs, it started developing the other tools on the platform.
HitPay’s Series A financing will be used to build a payment infrastructure from the ground up, with the aim of saving SMEs money and helping them grow their business. This includes business tools and payment infrastructure that covers all the common payment rails in any market, including bank transfers, cards, e-wallets and BNPL services.
“SMEs have very specific requirements, so we wanted to build a one-stop no-code platform,” says Haripurkar. “That includes all our plug-ins, POS software, business software, web shops and periodic payments. We will focus on building these free SaaS tools in addition to building payment rails, currently targeting Singaporean and Malaysian merchants. But that will look very different in each country we launch in, so we’ll be looking at local payment methods in each country. That is the biggest challenge for our team and where most of our investment and time goes.”
The first step HitPay will take as it expands into new countries is to become regulated in every market it operates in so that it can build payment infrastructure for SMEs from scratch. Then it integrates the most popular payment methods. For example, HitPay in Singapore currently works with about 10 to 15 payment methods.
HitPay’s no-code platform allows SMBs to unify their online and offline payment stacks. It is mostly used by medium-sized companies, with annual sales between $500,000 and $2 million. Most are in the retail segment, but Haripurkar expects this to evolve as well.