Rinchi
TechInAfrica – Egyptian FinTech startup, NowPay, has announced the close of its seed round, raising a US$600,000 of investment from two venture capitalists: Silicon Valley’s Endure Capital and 500 Startups. The closing was made earlier this year but only now is being announced by the startup.
The Cairo-based FinTech startup was founded earlier this year by Mostafa Ashour, Ahmed Sabry, and Cherif Radi. It works to improve the financial wellness of corporate employees. Each of them has previously worked for big companies such as Microsoft, Amazon, IBM, and Orange.
NowPay works with employers—through their HRs—to pay their staff in advance at any time of the month through a mobile application. From the collaboration, they deduct a small fee from each transaction before paying ‘ahead salaries’ to their staff. This service is expected to make employees can better manage their budgets and eliminate certain financial worries.
“Saving, spending, budgeting, and borrowing. Those are the four pillars of financial wellness. We want to improve every aspect of those for employees,” said Mostafa Ashour, one of the founders.
He added, “In order to reduce money worries, lower financial stress and cut down attrition rates, employees need to feel that they can get their salaries whenever they are cash-strapped.”
It is the year for several FinTech startups, especially in Egypt. A few months ago, other FinTech startups like PayNas and X Pay have received investments up to 250K from different funding events. In additions to the investment, Fawry IPO had pioneered on the Egyptian Stock Exchange and raised US$366 million in market cap.
The Egyptian government has dedicated US$57 million to supporting particularly FinTech startups in the country. As a result, FinTech has become one of the busiest sectors on the continent.
Source: weetracker.com
