Investment

A FinTech start-up focused on the travel industry has raised £35m in Series A funding.

Fly Now Pay Later will use the equity and debt funding to expand its UK and EU operations and direct to consumer app.

Its platform allows customers to stagger the cost of a trip over a period up to 12 months, via leading travel brands, including Last Minute, TravelUp and the Moresand Group.

The FCA regulated firm has secured the investment in a round led by asset management firm Revenio Capital alongside Shawbrook Bank and BCI Finance.

Fly Now Pay Later was founded in 2015 by Jasper Dykes. After meeting co-founder and financier Stuart Jeffrey, they built out a small team, closed a seed funding round and formed Fly Now Pay Later.

The investment will also see expansion into Europe beginning with Germany in the second quarter of 2020, followed by France later this year.

The firm currently employs 70 staff in the UK and is aiming to support each market over the next year in line with customer demand and as travel restrictions ease.

Commenting on the announcement, Dykes, CEO of Fly Now Pay Later said: “Few industries have been affected as significantly as tourism in the wake of COVID-19. Many companies have been affected and we are not different. This investment is a welcome boost to the sector, and provides us with adequate cash flow to help steer us through these challenging times.

“It’s predicted that once lockdown restrictions begin to ease, airlines will need to recoup costs – leading to unavoidable price rises in the future. “There are tens of thousands of people who have families around the world who need a frictionless way to finance their flights. Likewise, for many businesses to operate internationally, flying is an essential requirement for employees.

Kitarack Chapman, Director at Revenio Capital added: “Fly Now Pay Later’s innovative and data-driven financial solutions are fundamentally re-aligning the interests of travellers and merchants for the better.

“We are excited to support the company and its experienced management team as they continue delivering their customer-oriented mission to make life easier for travellers in the UK, Europe, and further.”