Thursday 18 January 2018

Aztec Exchange joins Stripe on Forbes' major Fintech 50 list

Dublin-based company is honoured with global accolade for innovation in financial services sector

Patrick and John Collison of Stripe, who are also included in the Forbes Fintech 50 list
Patrick and John Collison of Stripe, who are also included in the Forbes Fintech 50 list
Michael Cogley

Michael Cogley

DUBLIN-BASED early payment firm Aztec Exchange has been named in the Forbes Fintech 50, a list of companies that are causing the most disruption in the financial services sector.

Aztec was selected from a group of 300 companies and is one of 22 new entrants into the ranks.

Chief executive Edwin Hagan-Emmin said he was honoured his company has been included amongst the world's most exciting fintech businesses.

"PayMe, our primary invoice finance service, enables corporates and e-invoice networks to offer real-time, non-recourse factoring to 100pc of suppliers globally.

"Using cloud technology and backed by institutional capital, we make it possible for e-invoice networks and corporate supply-chains to provide 'white label' supplier financing," he said.

The Aztec product works in a five-step process that begins with a supplier selling to a corporate company.

The supplier then produces an e-invoice, which is then sent to Aztec. Aztec then sends the funds to the supplier straight away and receives funds from the corporate or purchaser, meaning the supplier is no longer waiting for invoiced revenue.

The company is backed up by $15m (€13.9m) from pan-European investment firm Maya Capital, New York-based Eton Street, and the Hirsch Family Fund.

Forbes said Aztec poses a threat to both traditional factoring companies and small business lenders.

Aztec's continued rise has not gone unnoticed, garnering the attention of major investment banks, including Goldman Sachs and Societe Generale.

The company's primary service PayMe is a "game changer," said Mr Hagan-Emmin. "Our customers are typically paid within 24 hours for invoices they select for early payment."

The addition to Forbes list comes after the company announced two significant partnerships that increased its reach in both Latin America and Europe.

It's Latin America deal with Santiago-based Gosocket means it will now be servicing an extra $200m (€186m) in invoice finance requests.

Aztec also signed up with Grupo SERES, one of Spain's largest e-invoice providers.

Also on the Forbes list is San Francisco-headquartered Stripe.

The micro-payments company, which has raised around $300m to date from the likes of Elon Musk, is headed by Limerick brothers Patrick and John Collison.

Forbes described the six-year-old business as a "fintech superstar" with a $5bn (€4.6bn) valuation and highlighted it as a threat to credit card processor PayPal.

Stripe also benefited from last week's US election, netting $1.5m of both candidate's cumulative spend in the run up to the vote.

Both Hilary Clinton and Donald Trump spent heavily in the build-up to the election and according to Bloomberg the Trump campaign spent $500,000 in August on payment processing services from Stripe.

The Clinton campaign also splashed out $1m on Stripe's services during the bitter battle between the two which ended in last week's shock result.

Irish Independent

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