Tranch, the UK-based B2B Buy Now, Pay Later (BNPL) platform, has raised £81 million in equity and debt funding.

The company’s ‘Pay with Tranch’ payment method allows firms such as consultancies and marketing agencies to offer an alternative way for their end-customers to pay for contracts worth up to $500,000.

The company launched in the US after completing a beta-launch in the UK and following its accepted into start-up accelerator programme Y Combinator accelerator.

“Against this challenging macroeconomic backdrop, buyers and suppliers have to ensure they can optimise their working capital cycle, and B2B BNPL is a common-sense way to achieve that,” said Philip Kelvin, co-founder and chief executive of Tranch.

Kelvin added: “With our new investors and substantial credit facility in place, we’re in a great position to continue our growth in the US market out of our New York office.”

The funding round was led by investors Soma Capital and FoundersX. The funding round also includes a credit facility from Clear Haven Capital Management.

The funding round comes as Santander CIB, Allianz Trade, and Two joined forces to create a Buy Now, Pay Later (BNPL) service for large multinational corporates in what they have described as the first partnership of its kind.

The new business-to-business (B2B) service will give corporate organisations the opportunity to access instant deferred payments at checkout.

Ignacio Frutos Lopez, global head receivables, Santander CIB said that B2B transactions are hindered by buyers having to use personal or corporate credit cards and that the new service would address this.

Share Story: