Fly Now Pay Later secures GBP10m in Series A funding
By Purva Aggarwal – Aiming to defy the current downturn in the travel industry, a UK fintech company looking to offer consumers a more flexible way to finance travel post Covid-19 has raised GBP10 million in Series A funding, bringing its total received in investments to GBP45 million.
Asset management firms Revenio Capital and Taurus Wealth Advisors co-led the investment round, which will be aimed at expanding operations in Germany and UK, as well as in the US, the world’s largest travel market.
The commercial travel sector is recording an unprecedented slow down due to the pandemic. According to Fly Now Pay Later’s CEO, Jasper Dykes, leisure- domestic travel in the United States has been less impacted than Europe, however, with continued interstate flights operating at around “75 per cent of pre-pandemic levels” during peak holiday season.
The direct-to-consumer app allows customers to spread the cost of the trip over 12 instalments. Describing the benefits of the app for end customers Dykes commented: “By removing financial boundaries, we hope to open the post-Covid-19 world for travellers and reconnect people with their friends and families around the globe. People are itching to dust off their suitcases globally.”
Many corporates such as Malaysian Airlines, TravelUp, Lastminute.com, Kayak, and Malaysian Airlines have already entered into commercial partnerships with Fly Now Pay Later. The company said it aims to create over USD1 billion of enterprise value within the next 18 months, as many businesses related to the travel sector – such as those involved with providing flights, hotels, car hires, and package holidays – would be able drive sales using Fly Now Pay Later’s payment platform.
Underlining his hope to capitalise on the current market opportunity, Dykes commented that “the platform has been designed to make instantaneous credit decisions - providing highly tailored and digestible payment options to consumers traditionally underserved by existing credit institutions.”