The Wage Access (EWA) platform, which allows employees to generate income as needed without having to wait until the payday, is proliferating around the world.Indonesian EWA startup today Hard Announced that it has raised $ 5.6 million in strategic funding led by Integra Partners (formerly known as Dymon Asia Ventures). Other investors include Asian Development Bank (ADB) Ventures, PT Triputra Investindo Arya, Global Founders Capital, Trihill Capital, 1982 Ventures and Willy Swandi Dharma, former president of insurance company PT Asuransi Adira Dinamika.
Founded in 2020 by graduates of two of Southeast Asia’s largest technology companies, it will reach more than 250,000 users this year. Chief Executive Officer Tobias Fischer was a former Regional Financing Program Manager at Grab Financial Services Asia, and Chief Technology Officer Sasanadi Rukua was Tokopedia’s Vice President of Engineering.
After working for a financial services company in Southeast Asia, Fischer told TechCrunch that he and Luka realized that “cash flow management is the most pressing daily problem for low- and middle-income Indonesians.” It was.
While the pandemic exacerbated financial difficulties, Mr Fischer said more than 75% of Indonesians are already struggling to cover unexpected spending between salaries. Many borrow from family and friends, but if that option isn’t available, you may take a payday loan that can charge more than 360% of the annual rate, or you may pay the bank overdraft or delinquency until your next salary. ..
“This is the beginning of a vicious and costly debt cycle that has a long-term negative impact on an individual’s financial position, as well as high turnover, low productivity and increased employee loans. “Fisher said.
On average, more than 50% of wayly’s corporate client employees use this service many times a month to track their daily income and access the wages they earn. The company’s ultimate goal is to “build a comprehensive financial and health platform for low- and middle-income workers,” including other financial services including savings, insurance and smart spending products, Fisher said. ..
More companies around the world are giving their employees the choice of when to receive their salaries. A notable EWA platform is Gusto’s Flexible Pay. DailyPay, Recently reached unicorn statusWage Stream; Meine and Even. In Indonesia, gajiGesa and Gajiku are Waverly’s competitors.
“We have created the category of wage access earned in Indonesia,” Fischer said, saying he is the market leader for more than 50 large companies, including state-owned and multinational companies. Used to increase Wagely’s sales team to close corporate transactions. Wagely’s current customers include PT Bentoel Internasional Investama Tbk (British American Tobacco). PT Supra Boga Lestari Tbk (Ranch Market); Beauty and health company PT Mustika Ratu Tbk. And the renewable energy group PT Kencana Energi Lestari Tbk.
In a press release, Wilson Maknawi, President of PT Kencana Energi Lestari TBK, said: This is a very important and important step for the long-term resilience of our business. Without changing the payroll process, Wageley’s solution has proven to increase business savings, helping employees avoid predatory loans and at the same time improving savings and budgeting tools to improve financial literacy. Provided. “
Wagely, an Indonesian earned wage access and financial services platform, raises $5.6M – TechCrunch Source link Wagely, an Indonesian earned wage access and financial services platform, raises $5.6M – TechCrunch