“Buy now, pay later” isn’t a new concept – but it has certainly come a long way since its inception. Afterpay is an innovative company that has revolutionised the payment landscape for millennials. Since its founding in 2014, this Australian FinTech startup has become one of the fastest-growing companies in the world, used for thousands of transactions a day, whether you’re furniture shopping or looking to buy men’s sneakers online.
Let’s take a closer look at how it all started, and where it stands today.
The Afterpay Story Begins
Afterpay was founded in 2014 by Nick Molnar and Anthony Eisen, two entrepreneurs who had previously worked together on another successful startup called Shoes of Prey. Recognising the potential for “buy now, pay later” options to revolutionise retail payments, they founded Afterpay with the mission of making shopping more accessible and affordable for everyone.
The company began as an online direct debit service that allowed customers to purchase items online without having to pay upfront fees or interest. Instead, they could spread out their payments over four equal instalments of eight weeks – with no extra fees added on top! It was an incredibly popular idea from the get-go; within just three years, Afterpay had millions of users across Australia, New Zealand, and Canada – and had even begun expanding into new markets like Europe and the United States.
Where Does Afterpay Stand Today?
Today, Afterpay is one of the most successful FinTech startups in history. It operates in seven countries around the world (with plans to expand even further) and boasts 13 million active customers worldwide. As of 2021, it had processed $6 billion worth of transactions each year – up from just $2 billion per annum back in 2019.
Additionally, Afterpay is backed by some of the biggest names in venture capital; Benchmark Capital led a $300 million investment round back in 2020 that valued the company at $7 billion USD.
No doubt about it – Afterpay is here to stay!
The story behind this innovative FinTech startup illustrates just how far “buy now, pay later” technology has come since its inception. From less than a million users to upwards of 13 million active customers worldwide – not bad for a company that was founded less than a decade ago! With continued growth comes exciting opportunities for both consumers and merchants alike; let’s see what 2023 brings for this revolutionary Australian FinTech powerhouse.