SteadyPay, the FCA licenced app solving the issue of volatile pay in the growing gig economy, has today announced that it has closed a £2.9m seed equity and debt funding round. The equity investment was led by venture firm Hambro Perks and Fair By Design, the social impact fund by Ascension Ventures.
With its recent investment, Elena Moneta, Principal at Hambro Perks, has joined SteadyPay as a Director.
Launched in 2018, SteadyPay is a smart solution for gig economy workers to protect their pay. A subscription-based app, SteadyPay automatically tops up workers’ bank accounts when their earnings are below average and allows customers to repay over easy and interest-free instalments.
For over 50% of workers in the UK, financial uncertainty is one of the prime reasons for stress. Banks and other lenders are often complicated, expensive and inaccessible for gig economy workers, adding to financial strain. With SteadyPay, there is no risk of falling into a debt spiral. The app reduces the need for gig economy workers to use high-cost credit for everyday expenses or to divert their savings.
John Downie, co-founder and CEO of SteadyPay says; “We’re delighted to have Hambro Perks and Ascension Ventures leading SteadyPay’s latest funding round. This raise will further strengthen our commitment to service the UK’s gig-economy with a powerful and ethical solution to income volatility.
“We’re thrilled with the results and customer feedback to date, and we look forward to driving scale in 2020.”
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Elena Moneta, Principal of Hambro Perks and Director of SteadyPay added: “Hambro Perks is thrilled to support SteadyPay in its mission to help gig economy workers overcome the hurdles of volatile pay. As the company engages with its customers directly, we believe it will become the go-to financial partner for atypical workers.”
Fair By Design Investment Manager, Emma Steele, said: “We are very excited to bring on SteadyPay as another vital solution to the Poverty Premium.
“By enabling freelancers and gig workers to have access to a more predictable income stream through their income top-up tool, we believe SteadyPay addresses a key aspect of financial vulnerability. We look forward to working with the team to support them on their journey to scale.”
The investment will enable the company to scale-up in the UK and reach 5,000 customers in the next 12 months.