Blog

SumUp offers end-to-end payment solutions to small businesses | Image Credit: SumUp

London-based fintech startup SumUp has raised a €590M funding round as it marks ten years of rapid growth and global expansion. The new funding round led by Bain Capital Tech Opportunities gives the company an enterprise value of €8B.

According to Crunchbase, SumUp had raised a total of $1.4B in funding over 12 rounds before this funding round was disclosed. The funding comes at a time when investor uncertainty is at its peak and prominent VC firms are warning their portfolio companies to prepare for the worst.

Salesforce’s report on Dutch workforce’s digital skills

Has the Dutch workforce mastered all digital skills? Find out

Has the Dutch workforce mastered all digital skills? Find out Show Less

SumUp: what you need to know

SumUp was founded in 2012 by Jan Deepen, Marc-Alexander Christ, Petter Made, and Stefan Jeschonnek to help businesses accept card payments at the point of sale or on the go. Since its inception, SumUp says it has become the financial partner for over 4 million small businesses worldwide.

Today, the financial services super app from SumUp helps merchants with a free business account and card, an online store, an invoicing solution, as well as in-person and remote payments. SumUp does this by seamlessly integrating all of these solutions into its proprietary card terminals and point-of-sale registers.

The fintech startup says it has more than 4 million businesses from taxi drivers and coffee shop owners to large sports stadiums using the platform to enable payment solutions. It currently supports merchants in 35 countries worldwide, and expanded to Peru this month.

The startup has also expanded into point-of-sale solutions and is using acquisitions of Goodtill, Tiller, and Fivestars to expand its footprint within the restaurant and retail sectors.

SumUp says it plans to use the new funding to accelerate development of “vital and fair financial services and tools” to empower small businesses worldwide. Marc-Alexander Christ, co-founder and CEO of SumUp, says, “SumUp has received consistent support from the global investment community in our mission to help small merchants succeed.”

“Our ability to organically grow over 60 per cent through the challenges of recent years shows that we are there for merchants when they need support most. I am very proud of the team for completing a successful financing round in the current market with marquee investors – it’s indicative of our strength, execution, and potential. The funds we’ve raised will enable us to continue to build out our product ecosystem, expand into new markets, pursue value-adding acquisitions, and continue levelling the playing field for small merchants at a global scale,” he adds.

Investors

The new funding round for SumUp was led by Bain Capital Tech Opportunities, with participation from funds managed by BlackRock, btov Partners, Centerbridge, Crestline, Fin Capital, and Sentinel Dome Partners, among others. This latest round is a combination of debt and equity.

With this round, the total capital raised by SumUp reaches €1.5B and shows the growth momentum enjoyed by a select few fintech startups. Goldman Sachs International acted as exclusive placement agent for SumUp while Weil, Gotshal & Manges acted as legal adviser on the financing.

“SumUp has continually evolved to empower a growing and diverse field of small businesses with payment solutions and tools to efficiently connect with their everyday consumers,” says Darren Abrahamson, Managing Director at Bain Capital Tech Opportunities. “SumUp’s leadership team have led the company to sustained and accelerated growth through expansion to more than 30 countries where they have had a direct and positive impact on the small business ecosystem.”

Bain Capital Tech Opportunities is the growth investing arm of Bain Capital. It helps growing technology companies reach their full potential and focuses on companies in large, growing end markets. “We’re proud to contribute our deep fintech and payments experience to aid SumUp’s remarkable ability to push the boundaries and lead an incredibly competitive industry,” adds Abrahamson.