DailyPay, a leading financial technology company, has announced that it has raised $260 million in the capital.
The company will use the funds for several purposes. The firm intends to strengthen its position in the US market with these financial resources. The company will also use the money to expand its activities internationally. Innovative products will become another direction of cash injections.
The financing is split between the possibilities of a revolving credit facility provided by Barclays and Angelo Gordon and a new term loan from SVB Capital and a fund managed by Neuberger Berman.
DailyPay first announced a $300 million revolving credit facility for Barclays in March 2022. An additional revolving credit line provides the company with capital to serve customers, the number of which is increasing on an ongoing basis.
The fundraising announcement came five months after Kevin Koop joined DailyPay as chief executive officer. During the five months of its operation, the company increased the number of customers and demonstrated the result in the form of a significant increase in revenue.
Pay-on-demand has proven to be a transformative financial advantage for employers and their employees, and DailyPay is a recognized market leader. This was stated by Kevin Koop. He also noted that the high level of trust and investment from global financial institutions is a confirmation of the effectiveness of the company’s business model and its prospects. Kevin Koop believes that the new financing will strengthen the firm’s position.
DailyPay cooperates with leading employers in various fields, including Fortune 500 companies such as Hilton, Target, Kroger, and Dollar Tree. Modern remuneration strategies take into account the principle of understanding, and motivating employees and ensure a high degree of mutual trust between superiors and subordinates.
As we have reported earlier, B2B Platform Tranch Raises $100 Million in Debt and Equity.