Financial technology startup ePaylater which is the brainchild of Mumbai-based Arthashastra Fintech Pvt. Ltd, has raised $2 million in a seed round of funding from three high-net-worth individuals. ePaylater was founded in December 2015 by Aurko Bhattacharya, Prasannaa Muralidharan, Uday Somayajula, Shanmuhanathan Thiagaraja and Saxena. The company gives customers the option to ‘buy now and pay later’ on online portals with just one click. The customers get 14 days to make the payment and within that period they can make many more transactions via single-click checkouts and can bunch them all together to make a single payment at the end of the period.
Confirming the same, Akshat Saxena, co-founder of ePaylater mentioned,
“The investors are leading personalities of the global financial industry and have invested in other fin-tech startups,”
ePaylater uses an algorithm to understand the customer’s credit history and buying patterns on e-commerce platforms, digital footprint and device information based on which a credit limit is assigned to a customer. The startup charges a commission per transaction from the merchant. The firm claims to be working with some of the leading e-commerce players.
ePaylater co-founder Aurko Bhattacharya added,
“The Indian e-commerce space is expected to cross $75 billion by 2020 which would still be less than 10% of the size of the overall retail pie. We are looking at penetrating the e-commerce space enough before diversifying our portfolio to include offline payments,”