Paystand Secures $20 Million to Overhaul B2B Payments With Blockchain
Paystand raises $20 million in a new funding round to accelerate the expansion of its blockchain-based B2B payment platform. The company aims to make corporate billing as simple as consumer apps while significantly reducing transaction fees.
Paystand raises $20 million to modernize B2B payments using a blockchain-based platform that makes paying corporate bills as easy as using a consumer mobile app. The Scotts Valley, California-based company plans to use this new funding, which comes from DNX Ventures, Battery Ventures, and other firms, to accelerate product expansion and grow its team. CEO Jeremy Almond describes the service as a Venmo-like experience for complicated commercial transactions.
The company operates on a subscription model that moves businesses away from traditional fee-based transactions, saving them over 50 percent on the cost of accepting payments. Paystand digitizes the enterprise cash cycle, which typically takes 30 days or longer, by automating the entire process from invoice to reconciliation. Its blockchain-assured payment network moves money between businesses instantly and reduces days sales outstanding by more than 60 percent.
Paystand sees strong growth as it adds 80 new large enterprise customers over the last 24 months and achieves a 2.5 times increase in year-over-year revenue. Over 160,000 businesses now transact across the Paystand platform, saving hundreds of millions in fees, while average monthly subscriptions grow by 240 percent. The technology serves a variety of industries, including insurance, manufacturing, transportation, and pharmaceuticals.