Egyptian fintech Sympl raises $6M for its ‘save now, pay later’ service – TechCrunch

Buy now and pay later (BNPL) services have been around for a long time, but they have become more popular as pandemics have increased the number of people who shop online and save cash...

BNPL is widespread in most parts of the world, but not yet. Pick up steam in Africa. However, in countries such as South Africa and Egypt, the demand for such services is rising rapidly.

In the latest development exampleFounded just five months ago, Egyptian FinTech announced today that it has raised $ 6 million in seed funding following its soft launch in October...

Beco Capital led the startup’s seed round five months ago, with the participation of A15 and Global Ventures.

Mohamed El-Feky, Yasmine Henna, When Karim Tawfik We started Symp in August this year. “We all worked together to set up Sympl, because given the very populous market, we share the vision that we have a great opportunity to buy now and pay later here in Egypt. That’s why, “founder and CEO El-Feky told TechCrunch on the phone. “”It’s a consumer purchase Market-driven, with plenty of access to consumer products and services, both online and offline. “

However, there is a slight twist in Sympl’s products that the founder made to localize the product for the Egyptian market... In the CEO’s words, Sympl saves money and operates a model that pays later rather than the usual buy now.

Sympl states that it targets more than 50 million debit and credit card owners in the country. And like any other BNPL service, the company wants to give incentives. part Check out, in-store, or online for this demographic.

Sympl allows merchants to sell, as no pre-registration is required and payment plans are approved at checkout Directly To consumers in the short term completely Interest-free (interest-free) payment plan..

For a typical BNPL model, purchase divide Many Equal payment. First payment, usually 25% of total purchase, Is made At checkout, the rest Was paid Divide into 3 times.

Sympl operates another method that the company says Promote customer savings at the time of purchase..

“This platform is an evolution of the customer’s checkout experience. Instead of facilitating purchases, it offers customers more choices at checkout, facilitating customer savings, flexible cash flow management, and better matching of revenue and spend without compromising the customer’s lifestyle. “Masu,” the company said in a statement...

When a customer checks out from any of Symp’s merchants, the company checks the funds in the customer’s bank account and charges a prepaid fixed fee of £ 100... Fees cover future repayment collections purchase amount.

Sympl then gives the customer the option to use the plan after interest-free.The rest of the payment Made 3-5 installments.The company said the plan Respond to different segments of customer employment, including gig workers, freelancers, self-employed, and permanent employees..

“This is a savings we make to our customers. Therefore, instead of spending all your money on one transaction right now, you can leave the store with the goods and keep the money in your pocket with 3-5 even payments... It can be monthly, Every other week Or on a weekly basis, “said the CEO.

The launch of Symp in October was strategic.One week, it Exclusively By partnering with Tradeline, the largest reseller of the iPhone 13 in Egypt, customers could only buy phones online or offline via Symp...

“During the launch, we were lucky enough that Mohammed and I had many partners who worked together at valU, a consumer fintech where both worked before Sympl. Thanks to our success at the time, they wanted to come to us as merchants and partner with us at Symp, “said COO Henna.

“They like it because they think the platform is unique, because it is the first in Egypt to offer the Egyptian debit card population the option to pay for debit cards or later... “

Sympl says it employs up to 240 merchants dealing in electronics, fashion, appliances, furniture, travel, healthcare, jewelery and education products... We plan to reach 1,000 stores by the middle of next year. Henna also said that Symp is growing 25% weekly. in terms of The number of transactions made on the platform.

Sympl uses investment for eExpanding the merchant network, building technical upgrades and enhancements, hiring more talent, expanding its footprint throughout Egypt, covering all 27 provinces in the country (currently two) is)..

El-Feky said the company plans to expand outside Egypt when it raises its next round of investment. Most likely destination? Saudi Arabia.

“This is one of the most vibrant and populous markets and has similar demographics and consumer behavior. In my opinion This will be the first regional step from Egypt. “

Egyptian fintech Sympl raises $6M for its ‘save now, pay later’ service – TechCrunch Source link Egyptian fintech Sympl raises $6M for its ‘save now, pay later’ service – TechCrunch

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