It is very easy for individuals to send money back and forth and there are many cash applications to choose from. On the commercial side, though, a business is not as easy as trying to send 100,000 in the same way.
Pestand wants to change that. California-based Scots Valley is using Cloud Technoil EG and Ethereum Blockchain as engines for its Pastend Bank network that enables business-to-business payments with zero fees.
In partnership with Softbank’s SB Opp Poverty Fund and King River Capital, the company raised 50 50 million in Series C funds, led by New View Capital. That brings the company’s total funding to $ 85 million, Pestand co-founder and CEO Jeremy Almond told TechCrunch.
During the 2008 recession, the Almond family lost their home. He decided to go back to graduate school and did his thesis on how commercial banking could be better and how digital transformation would be the answer. Glancing at his company’s vision from the enterprise side, Alm Lamand said what Venmo does for customers, Pestand does for business transactions between mid-market and enterprise customers.
“Income is the lifeblood of a business, and even though money has become software, everything except income is in the cloud,” he added.
He estimates that about half of enterprise payments still involve paper checks, while FinTech sits heavily on cards that come with a 2% to 3% transaction fee, while Almond said it is impossible when a business regularly sends 100,000 invoices. . Pestand charges a flat monthly rate rather than a fee per transaction.
Towards the consumer, companies like Square and Stripe were in the first wave of companies focusing primarily on accounts payable and then building business process software on top of existing infrastructure.
The world’s past stand is that the receipt of accounts is hard and why there are not many competitors. This is the reason why Pest & Nd is surfing the next wave of flotech, powered by blockchain and decentralized finance, to transform the $ 125 trillion B2B payment industry by offering an autonomous, cashless and fileless payment network, which will be an alternative to cards.
Customers who use paste using nd over a period of three years are able to receive an average benefit of 50% savings on recipients’ costs and $ 850,000 savings on transaction fees. The company is seeing a 200% increase in the value of monthly network payments and customers have doubled in the past year.
The company said it would use the new funds to continue to grow the business by investing in open infrastructure. In particular, Almond wants to reboot digital finance, starting with B2B payments and re-imagine the entire CFO stack.
“I want something like this to have existed for 20 years,” Badam said. “Sometimes those are the unsafe areas that can have the most impact.”
As part of the investment, Jazmin Medina, principal of New View Capital, will join the board of Peststand. He told TechCrunch that while the venture firm is a generalist, it is in Fintech and Fintech Infrastructure.
He also agrees with Almond that the B2B payment space lags behind in terms of innovation and has “strong confidence” in what Almond is doing to help mid-market companies actively manage their cash needs.
“There’s a huge blue sea of payments industry, and all these companies have to be fully digital to stay competitive,” Medina added. “There is a happy hole if your income leaves you behind because you are not digital. That is why the time has come. “