With the payment aggregator license, Mswipe looks to develop an in-house online payment gateway
It will now offer full-stack payment solutions to offline as well as online merchants in the country
So far, it has raised a total of $105 Mn from investors such as B Capital, UC-RNT, Falcon Edge Capital, Matrix Capital Partners, DSG Partners and Epiq Capital, among others
Fintech startup Mswipe has received the payment aggregator license approval from the Reserve Bank of India (RBI).
With this, Mswipe looks to develop an in-house online payment gateway. The startup will now offer full-stack payment solutions to offline and online merchants and plans to add more merchants to the platform.
“With receiving in-principal approval for payment aggregator license, we aim to ease the lives of merchants across the country. MSMEs are the backbone of the Indian business ecosystem, and the PA License will enable us to provide them with integrated digital payment solutions,” Ketan Patel, the CEO of Mswipe Technologies said.
Founded in 2011 by Patel, Mswipe is a mPOS network provider that helps merchants to accept card payments via smartphones or feature phones. Its offerings include PoS terminals, QR-code payments, boombox, payment gateways, and lending solutions, among others.
So far, Mswipe has raised a total of $105 Mn from investors such as B Capital, UC-RNT, Falcon Edge Capital, Matrix Capital Partners, DSG Partners and Epiq Capital, among others.
Earlier on, fintech startups–Razorpay, Pine Labs and Innoviti also received in-principal approval for payment aggregator license from the central bank.
A payment aggregator acts as a third-party payment provider that processes online transactions on behalf of merchants. By integrating with merchants’ platforms, it offers a number of payment offerings including credit & debit card and bank transfers, among others that can be ultimately used by consumers for making payments.
As per the RBI, for acquiring a payment aggregator’s license, a fintech startup needs to depict
a net worth of INR 15 Cr as of the financial year 2021. Besides this, a startup also needs to showcase a net worth of INR 25 Cr by the cessation of the fiscal year 2023.
It has to be noted that over 185 fintech companies and startups including CRED and PhonePe have shared propositions with the central bank for getting a payment aggregator license.
