equipifi, a fintech company that helps banks and credit unions incorporate a Buy Now, Pay Later (BNPL) option, launches today with $3 million in seed funding.
The Scottsdale-based startup is designed to help banks and credit unions offer users the chance to buy now, pay later. The cloud-based platform is “built to be launched effortlessly” with these financial institutions, thanks to an adaptable user interface and direct connection to checking accounts and credit cards.
Banks and credit unions using equipifi can utilize text messages and push notifications to offer qualifying customers a buy now, pay later option. If a customer accepts the offer, money from a designated purchase will be deposited back into her account. From there, equipifi creates a payback plan, and customers can then manage their plan via their existing online banking portal.
equipifi co-founder and CEO Bryce Deeney said that the company’s “innovative solution” can strengthen the relationships banks and credit unions have with their younger users. Deeney’s co-founder and equipifi CTO Arthur Miller explained why.
“equipifi is built to help banks and credit unions retain and attract customers by reducing friction in the payments process and providing a seamless and automated user experience tied to existing customer accounts,” Miller said in a statement.
Equipifi will use the money for expanding product development, hiring new employees and executing the company’s go-to-market strategy. The company will also dedicate some of its capital to building and enhancing partnerships with banks and credit unions.
The round was led by New Stack Ventures, with participation from Revolution’s Rise of the Rest Seed Fund, SaaS Ventures, PHX Ventures, and several strategic angel investors. Baleon Capital led a subsequent seed round with participation from SixThirty.
New Stack Ventures, which led the round, is optimistic about equipifi’s potential.
“We’re proud to back equipifi because the founders bring extraordinary experience and industry know-how to the banking industry,” said Nick Moran, General Partner of New Stack Ventures. “We believe their BNPL solution for banks and credit unions will be transformative for both the financial institutions that use it and their member base.”
On top of that, Revolution’s Rise of the Rest has full faith in the company’s founders.
“Bryce, Arthur, and Bill Simmons, Chief Program Officer, understand the value of experience and are building the company the right way to prepare for growth and scale,” said David Hall, Managing Partner at Revolution’s Rise of the Rest Seed Fund. “It is another great example of founding teams finding the right mix of talent and resources outside of Silicon Valley.”