Travel finance start-up raises £10m to build up US operations
A new fintech firm offering users the chance to split the cost of travel over 12 months has raised another £10m in funding, it was announced today.
Start-up Fly Now Pay Later has now raised a total of £45m in funding following the close of its latest round, co-led by asset management firms Revenio Capital and Taurus Wealth Advisors.
The firm, which was developed specifically for the travel industry, allows firms to offer affordable financing to holidaymakers, who then pay back what they owe in scheduled installments.
It has partnerships with a range of firms, from SMEs to leading operators like Malaysian Airlines, Lastminute.com and TravelUp.
Over the next 18 months, Fly Now Pay Later is aiming to create over $1bn of enterprise value, it said.
It will use the proceeds of the funding round to kick off its operations in the US, where the domestic travel market alone is worth over $100bn.
Chief executive Jasper Dykes said: “The last 12 months have been an unprecedented period for the commercial travel sector with the worst slow down ever recorded in history. And while we’re not out of the woods, there are glimmers of hope.
“After more than a year of being in our homes, people are itching to dust off their suitcases globally. The recovery of travel is likely to be gradual, but when it happens, we hope that by giving people the freedom to book a trip and pay at a pace that works for them, will help spur reservations.
“There are tens of thousands of people who have families around the world who need a frictionless way to finance their flights. 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.”