PastPay Secures €12 Million for Buy Now Pay Later Growth in CEE

PastPay, a Budapest-based fintech startup focused on providing Buy Now Pay Later (BNPL) solutions, has secured €12 million in Series A funding. This funding round, led by Platina Capital with participation from key financial players like MBH Bank and Advance Global Capital, marks the largest raise for a B2B BNPL provider in Central and Eastern Europe (CEE).

• The funding will enable PastPay to accelerate its growth and expand its reach across Europe.
• PastPay offers B2B payment solutions that empower businesses to provide flexible payment terms and improve cash flow for SMEs within the EU.

PastPay's Buy Now Pay Later Solutions for SMEs

Founded in 2019 by Benjamin Berényi and Bálint Réti, PastPay has been actively serving several CEE markets, including Italy, Germany, Poland, Czechia, Slovakia, Romania, and Hungary. They plan to further expand their reach across the EU.

• PastPay has facilitated over 15,000 transactions and provided over €33 million in financing to support SMEs across Europe.
• Their platform supports both online and offline transactions, offering flexible payment terms ranging from 15 to 90 days.
• This allows businesses to enhance cash flow, promote growth, and provide their customers with control over payment terms.

The Growing Demand for Buy Now Pay Later Solutions in the B2B Market

Despite the cooling off of the BNPL market due to rising interest rates, PastPay sees a strong growth potential for B2B BNPL solutions. They believe that B2B commerce is increasingly shifting online, creating a higher demand for flexible payment options. PastPay is poised to capitalize on this growing need by investing in product development and strengthening its risk infrastructure.

• PastPay's co-founder and CEO, Benjamin Berényi, emphasizes the significance of investor confidence in a market with strong growth potential.
• The company aims to use the funding to further scale its B2B payment solutions and solidify its position in the market.

PastPay's Focus on Central and Eastern Europe (CEE)

While major players like Affirm, AfterPay, and Klarna dominate the BNPL market, PastPay has carved out its own space by focusing on the CEE region. They are aiming to become a pan-European provider, supporting transactions across the EU and EEA.

• Co-founder and COO Bálint Réti highlights their ambition to expand beyond CEE and become a key player in the European market.
• PastPay's new investors bring valuable experience and networks, supporting their mission to make financing accessible for more SMEs.
• With this funding, they project to finance over €300 million in invoices annually.

PastPay's Vision for the Future of Buy Now Pay Later

PastPay is committed to redefining B2B commerce by offering financing solutions that empower merchants and their customers. They prioritize simplicity and efficiency in their platform, setting new standards in B2B payments.

• PastPay plans to use the new funds to expand its services across Europe, focusing on product development and strengthening its digital infrastructure.
• Investor Mark Ransford emphasizes the talented team, lean operating model, and compelling plans for Western European expansion as reasons for his investment in PastPay.
• He highlights PastPay's unique ability to integrate both online and offline transactions, offering flexible payment solutions that benefit smaller businesses throughout Europe.

Key Takeaways

PastPay's €12 million Series A funding underscores the growing demand for Buy Now Pay Later solutions within the B2B market, especially for SMEs. Their focus on the CEE region has allowed them to establish a strong presence and set them apart from major competitors. This funding will fuel their expansion across Europe, enabling them to provide financing solutions for more businesses and enhance their position as a leading player in the BNPL space.