Introduction
South African fintech startup Float has announced the acquisition of an $11 million funding facility from Standard Bank. This strategic investment will enable Float to accelerate the rollout of its innovative card-linked installments platform, supporting its ambitious growth plans over the next four years.
Launched in November 2021, Float is on a mission to promote responsible credit card usage while empowering merchants to enhance their sales performance. The startup's groundbreaking technology allows shoppers to make purchases and split their payments over up to 24 interest-free, fee-free monthly installments, utilizing the available limit on their existing Visa or Mastercard credit card.
Seamless User Experience
With nearly seven million pre-approved credit cards already integrated into its platform, Float offers consumers a seamless experience without the need for sign-up, registration, or credit checks. This frictionless approach to payment flexibility has garnered significant traction among users and merchants alike.
The partnership with Standard Bank marks a significant milestone for Float, validating its innovative model and signaling confidence in its future trajectory. The substantial funding injection will play a pivotal role in fueling Float's growth as it prepares to capitalize on emerging opportunities in the market.
Driving Merchant Growth
Float's CEO and Founder, Alex Forsyth Thompson, expressed enthusiasm about the collaboration with Standard Bank and its potential to drive merchant growth. The platform's ability to offer flexible and responsible payment options has translated into tangible benefits for merchants, including increased conversion rates and average order values.
The $11 million loan, structured as a revolving credit facility, provides Float with long-term security and flexibility in funding. This strategic approach ensures that Float has the financial resources necessary to scale its operations and capture a larger share of the market.
Future Expansion
With a robust pipeline of new merchants and partnerships, Float is well-positioned to capitalize on the growing demand for flexible payment solutions in South Africa. The funding facility from Standard Bank will enable Float to continue scaling its operations and driving innovation in the fintech landscape.
As Float embarks on its journey to redefine the way consumers and merchants interact with credit card payments, the partnership with Standard Bank represents a significant milestone in its growth trajectory. With a relentless focus on user experience, responsible credit usage, and merchant empowerment, Float is poised to make a lasting impact on the fintech ecosystem in South Africa and beyond.
