Financial wellbeing platform, Payd has raised USD 1.7 million (RM7.5 million) in a seed funding round to expand its Southeast Asian operations.
The round was led by IFS Capital, with participation from 1982 Ventures and The Hive Southeast Asia, a recipient of the Dana Penjana Nasional programme. High net worth angel investors also participated in the funding round.
Towards this end, it will be deploying its funds towards brand building, team expansion to accelerate product development, as well as to launch more innovative products and services in the coming months.
To date, Payd has garnered over 20,000 employee sign ups, and has witnessed an increase in enrollment rates of up to 25%.
This mirrors the consistent success of the brand since its inception, Payd has been experiencing a growth of 120 to 180% month-on-month since July 2021, as more Malaysian businesses are now choosing to provide EWA benefits to their employees.
Commenting on the funding, Payd co-founder and CEO Justin Kong, said “This funding exercise is a watershed moment for Payd. We are grateful for our partners’ trust and confidence as we continue to build and launch Payd. In the long run, we hope to be a platform that eases the financial worries of the Malaysian workforce, helping build a better engagement between employers and employees.”
“Large and middle-market corporations can consider a well-structured EWA program as an integral pillar of the employee benefits framework. By empowering financial well-being of their employees, it can positively impact worker productivity, promote retention, and reduce absenteeism, resolving some of employers’ biggest pain points. This service is in line with IFS Capital’s goal of empowering businesses with access to capital through simple and affordable solutions.” said Renchun Zeng, Chief Executive Officer of IFS Capital Limited.
Founded in 2020, Payd is a rising comprehensive earned wage access (EWA) solution provider. Through this B2B2C platform, employers can now seamlessly offer their employees the freedom to choose when to receive the money that they have earned, thus increasing engagement in the workplace, ultimately resulting in higher retention rates and improved financial literacy.
Utilising a framework that is easily integrated with any organisation’s Human Resource (HR) and payroll system, employees will now be able to access up to 50% of their income whenever they need it. Companies that are currently partnering with Payd include, Zecon, myTukar and Tropicana.