Digital remittance startup TransferGo secures $2.5m in funding

Money transfer startup TransferGo has raised $2.5m (£1.7m) for its digital remittance service.

The seed round was led by Mark Ransford, former investor at Apax Partners; Voria Fattahi, former investor at Kinnevik; Clive Kahn, former Travelex CEO; and Richard Tudor, former partner at Exponent. Also participating in the round was Practica Capital (VC).

TransferGo enables those in the UK to transfer funds to over 40 countries, including Australia, Poland, Spain and South Africa.

Ransford said: “TransferGo is providing an essential service to migrants who want to send money home. These are the people who can least afford the high fees currently being charged by existing providers.”

The startup is based at Canary Wharf Group’s Level39 technology accelerator space, which is also home to the likes of eToro, Innovate Finance and WorldRemit.

Daumantas Dvilinskas, CEO of TransferGo, said his team was “delighted” to have secured the funding and said it demonstrates that remittance services “aren’t about disrupting banks, they are about working with them”.

“We have made a strategic decision to collaborate with more than 30 of the world’s most respected and innovative banks, using their local transfer infrastructure to offer an unrivalled service in terms of price, speed and most importantly, security,” he explained.