Subscribe to our newsletter and stay informed

Check out our list of top companies

Check out our carefully compiled lists of the most relevant and impactful companies within their fields.

Check out our list of top unicorns

Read and learn about the biggest companies that various countries have produced, how they made it, and what the future looks like for them.
October 16, 2023

Lopay Secures £6M Funding, Challenges Payment Giants with Competitive Fees

A substantial 69% drop in VC funding exceeding the global average of nearly 50%—London-based fintech Lopay defied the odds

Lopay, a London-based fintech company specializing in swift payments, has defied the odds amidst a challenging investment landscape. Despite a steep 69% decline in funding for European startups during the first half of 2023, Lopay successfully secured £6 million in seed funding within a mere 18 months of its inception. This boost was made possible by prominent investors, including London-based VC firm BACKED, Portage, The Venture Collective, and a group of distinguished angel investors.

With this financial infusion, Lopay is poised for international expansion and is determined to create innovative solutions that will yield cost savings for small businesses (SMEs).

Lopay is a payment app designed to enable small businesses to accept card payments from their customers at a fraction of the cost associated with corporate payment providers like PayPal and SumUp. The London-based startup is committed to offering users enhanced control, flexibility, and immediate access to their funds. In essence, Lopay claims that its instant settlement and low fees are less than one-third of PayPal's charges and half of those levied by SumUp and Zettle.

According to the company's press release, its competitive pricing has already saved merchants over £1 million in card fees. Furthermore, it anticipates processing an additional £500 million in card payments over the next year, potentially saving its customers up to £2.6 million in fees.

Users can also enjoy the perk of receiving cleared funds in their bank accounts immediately upon transaction completion, with the option for instant fund transfers after a successful transaction.

Lopay's journey began in 2022, founded by Richard Carter, the mastermind behind OrderPay, a renowned pay-at-table tech solution for the hospitality sector, and Payment Loyalty, a customer loyalty platform. Richard's professional background includes stints at Accenture and serving as a founding team member at Ecrebo, a venture-backed point-of-sale marketing platform.

Richard Carter, Founder of Lopay, expressed, "Lopay's mission has struck a chord with thousands of small businesses and sole traders feeling the squeeze due to high inflation and fluctuating customer demand. Lopay's user-friendly app and card reader offer small businesses an instant way to cut costs on every sale they make. More than 20,000 firms have already discovered that switching to Lopay is a small step that makes a big difference to their bottom line, and that's why several of the UK's leading industry bodies have chosen to partner with us."

Juliette Souliman, Principal at Portage, commended the company, stating, "We are proud to co-lead Lopay's seed funding round alongside Backed VC as they continue to challenge the industry's biggest players. Lopay's founder, Richard Carter, is a forward-thinking leader, and we are thrilled to support him and the team."

Caitlin Herling, Investor at The Venture Collective, echoed her support, saying, "Lopay's mission to empower SMEs through low-cost processing, settlement flexibility, and rewards aligns deeply with our human empowerment thesis."

Josefina Dipaolo
Josefina Dipaolo
Content Writer at TechNews180
Back to top

Related articles

chevron-down linkedin facebook pinterest youtube rss twitter instagram facebook-blank rss-blank linkedin-blank pinterest youtube twitter instagram