Plastiq pulls in $27m in Series C led by Kleiner

Online bill payments platform Plastiq has closed its Series C round on $27m, just months after pulling its previous round.

The new capital injection was led by Kleiner Perkins, with participation also coming from DST Global. As part of the deal, Kleiner Perkins general partner Ilya Fushman will join the Plastiq board of directors.

Founded in 2012, the San Francisco-based company enables consumers and businesses to pay their bills digitally through the use of a credit card. The platform, which has a 2.5 per cent fee, provides 2 per cent cash back on all purchases, business tax reductions, and early pay discounts.

It works by a user inputting the recipient’s details into the platform, Plastiq then charges the user’s card and will then pay the recipient on the user’s behalf. Business owners can use Plastiq to virtually pay their expenses via their credit card, improving cash flow, accessing early pay discounts and earning card rewards.

Plastiq works with credit card providers including American Express, Discover, Mastercard, Visa, and JCB, among others. Its solution has been used by over one million customers, helping to process billions-worth of transactions.

This funding has been earmarked for growth acceleration and the launch of new services which can help business owners and entrepreneurs better tap into existing credit card lines to fund expansion. Alongside this, the company is hoping to grow and broaden its partnerships with key members in the financial and payment sectors.

Earlier in the year, the company launched a new service for its Accelerated Payment Suite. Features include standard and expedited ACH bank transfers and US domestic wire transfers to provide optimised credit line usage.

Kleiner Perkins general partner Ilya Fushman said, “Today’s payments market is undergoing a rapid transformation driven by advancements in technology that benefits both businesses and consumers.

“Plastiq holds a unique value proposition that not only empowers small business owners to continue growing their operations, but also offers an advanced platform that makes it possible to pay for their most important expenses and obtain the capital they need, anytime and anywhere.”

Copyright © 2018 FinTech Global

Enjoying the stories?

Subscribe to our daily FinTech newsletter and get the latest industry news & research


The following investor(s) were tagged in this article.