PayTech startup Modulr raises £10.5m
Written by Hannah McGrath
Modulr, a FinTech startup offering digital payments accounts for businesses, has announced plans to open a new office in Edinburgh following its latest investment round.
The London-based startup, founded in 2016, is to use the funding to create more than 30 new jobs and grow its software engineering, customer support, risk and compliance and finance team as it seeks to take advantage of the burgeoning FinTech scene in Scotland’s capital.
Modulr’s digital payments account, which automates and manages business payments in real time, using a flexible API, will also be enhanced with new methods to enable payments which will be announced in the coming months.
The company’s latest funding round, led by digital venture builder Blenheim Chalcot, brings total investment in the company to £10.5 million.
Modulr claims to have processed £4.2billion in business payments since Januaey 2016 and has seen transaction volumes grow by an average of 11 per cent month-on-month.
The company says its investment in the city, the UK’s second largest financial services centre, reflects employment growth in an industry by 6.6 per cent from 151,000 to 161,000 in the previous year.
Its developer population grew by 8 per cent in the second half of 2017, reaching nearly 20,000, Modulr said.
Myles Stephenson, CEO of Modulr said building high quality and scalable software engineering, risk and compliance, customer support and finance teams is critical to the company’s growth.
“Following our strong initial success, we identified the need to scale and we set about looking for a location with a strong talent pool and pipeline,” he added.
Rob Devey, chair of Modulr & Advisory Partner at Blenheim Chalcot, said: "Modulr solves a real pain point – replacing outdated, slow and unreliable manual payment processes with an efficient and manageable payments platform. This is an important step on their growth journey and evidence of the growing demand for their solutions.”