Hastee raises £208m to boost on-demand payroll systems
Digital payroll firm Hastee has raised £208 million in a funding round led by Umbra Capital.
The firm, which allows workers to take a slice of their pay on-demand, will use the new injection of cash to fund the development of its systems and increase the scale of its business.
Hastee says that it is on a mission to reduce customers’ reliance on high-cost credit, payday loans, credit cards and overdrafts.
Users can access up to 50% of their earned pay on demand through the company’s mobile application. Hastee funds every withdrawal with employers reimbursing the firm on every normal payday.
Workers using Hastee receive their first withdrawal every month, up to £100, free of charge. Further withdrawals are subject to a transaction fee of 2.5%.
Hastee claims it is already being used by London City Airport, Avery Care Homes, and restaurant operator Mitchells & Butlers.
“This investment will help us support a greater number of organisations in reducing financial stress, increasing well-being and improving the productivity of their employees and, as a result, their organisations,” says James Herbert, Hastee founder and CEO.
Gustavo Diquez, managing partner at Umbra Capital, adds: “As a modern merchant bank, we are delighted to lead one of the largest fundraisings in the data-driven financing space to date, bringing together technology and socially responsible capital.”
Hastee has raised three previous rounds: a seed round in April 2017, an angel round in November 2017, and a venture round in May 2018. Financial details for all three were not disclosed.