Payments platform, Stax announced the closure of a $245 million funding round on Tuesday that took the valuation of the company to $1 billion. The valuation was reached after raising an additional round of capital.
The investors in the funding round include Greater Sum Ventures (GSV), HarbourVest Partners and Blue Star Innovation Partners. In addition, Rob Wechsler, the Founder and CEO of Blue Star, will join as a member of Stax’s board.
“Stax is a rapidly-growing company that is changing the way businesses conduct and scale their payments , which is why we chose to invest in them,” said Wechsler.
“The COVID-19 pandemic escalated the need for dynamic flexible and digital payment options all the way from small businesses to enterprise organizations and the software vendors that serve them. Fintech is rapidly evolving, and Stax is adapting just as quickly, ensuring their customers can do the same.”
Just Another Payments Platform?
Based in the United States, Stax developed a simple payments technology that, according to the company, provides businesses and SaaS platforms services with payment management and data analysis.
The company was founded and run by the sibling duo Suneera Madhani and Sal Rehmetullah. Madhani is the CEO, and Rehmetullah is the President.
Stax grew 500 percent in the past three years and processed more than $23 billion in payments for 22,000 businesses. Now, with the proceeds from the funding round, the company aims to expand its product capabilities and enhance its customer offerings. Additionally, it has plans to grow its team and expand internationally.
“At Stax, we help businesses grow and scale, all while having the flexibility to adapt their payment technologies to meet their customer needs,” Rehmetullah said.
“With our new capital and unicorn status, we can ensure our customers have all the tools they need to process and manage their payments. Businesses are just starting to realize how powerful payments can be in scaling their organization, and we’re here to ensure that process goes as smoothly as possible.”
