Boost Payments raises $22 million in its latest round of funding
New York-based non-bank B2B payments company Boost Payment Solutions has raised $22 million in its series C round of funding which was led by Invictus Growth Partners. Its existing investors – Mosaik Partners, INGWE Capital and North Atlantic Capital – also participated in the funding round.
As per the company’s press note, funding raised will be used to ‘accelerate the company’s global growth across multiple verticals, including healthcare, telecommunications, manufacturing, freight & logistics and real estate’.
Last week, San Francisco based fintech company Brex bagged $425 million in funding taking the VC investors funding to commercial payments companies this year to a total of $3.31 billion.
Boost said it would work closely with institutions and corporate buyers, suppliers, commercial card issuers and card networks to minimise the pain points which are faced and associated with commercial card use and acceptance.
B2B card payments provide many benefits for enterprises and this is one of the most attractive and fastest-growing segments within FinTech,” said William Nettles, Co-Founder and Managing Partner at Invictus Growth Partners.
The company in its press note said that the global B2B payments marketplace is valued at $120 trillion which is still dominated by ‘antiquated payment methods that are time-consuming, HR-Intensive and produce inadequate reporting data for the trading parties’.
While these drawbacks which the company says has created growth opportunities for Boost as virtual card products continue to ‘gain traction with parties looking to capture both working capital and operational efficiencies’. However, the company has not mentioned the source of B2B payments marketplace estimates in the press note.
The company provides a “secure and cost-effective” way for commercial clients to enable credit card transactions while its Boost Intercept STP (Straight Through Processing) platform automates onboarding, credit card transactions and reconciliation process for buyers and suppliers.