Freight payment platform PayCargo raised $125m in Series B funding to continue developing its cloud-based payments network.
Insight Partners, which led PayCargo’s $35m Series A last September, again led this new investment. It gives the Coral Gables, Florida-based company a total of $160m in known venture capital since its inception in 2008.
The Series A funding was used to expand the adoption of its electronic payments network and accelerate investments in its technology. This time around, it plans to deploy the new capital into growing the company, which has already gone from 25 to 100 employees in the past eight months as well as expand in Europe and other geographies.
In addition, the next round of investment will enable the firm to grow and expand into new markets with a focus on security and data protection, to fit every part of the supply chain.
Its tools include real-time customer reporting and invoicing, workflows to streamline partial payments and reconciliation, advance payments, and automated refunds in any currency. Its cloud-based payments network enables payers to pay air and ocean carriers, maritime ports, ground handlers, freight forwarders, and customs brokers, amongst others. PayCargo integrates with over 20 TMS, ERP, and Terminal Operating Systems across all transport modes: Ocean, Air, Rail, and Trucking.
PayCargo touts its network as “the leading independent payment platform focused on expediting the movement of cargo industry-wide in North America.” The company has operated in Europe since 2018 and is expanding there, as well as in Asia.
In addition, PayCargo, led by Eduardo Del Riego, is on track to process $10bn of freight-related payments in 2021, a 250% increase from 2020. It has more than 67,000 active users remitting and receiving payments on the platform, with thousands more joining each month.
Furthermore, it aims to capitalise on the global trade finance market which is expected to reach $10.9tn by 2026.
Del Riego said, “PayCargo was founded on the vision of building a modern freight payment network that lowers transaction costs, accelerates cargo release, and increases business agility and growth across the entire supply chain.”
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