To return to, an Indonesia-based fintech start-up, today announced it has raised $ 48 million in a Series B to accelerate its growth. The funding brings Flip’s total capital raised to $ 65 million.
Sequoia Capital India, Insight Partners and Insignia Ventures Partners co-led Series B. Flip is Insight Partners’ first investment in Indonesia.
The startup plans to use the new capital to further accelerate its business expansion, strengthen its operations in Indonesia, advance technology, and expand its engineering and product teams.
âThis new funding testifies to the commitment and perseverance of our team. This gives us the resources we need to fuel and accelerate our mission to create innovative solutions that simplify the movement of money in Indonesia, âsaid Rafi Putra Arriyan, co-founder and CEO of Flip.
Arriyan, Luqman Sungkar and Ginanjar Ibnu Solikhin co-founded the company in 2015 while studying at the University of Indonesia. They built the Flip platform to find an answer to the problem Arriyan himself encountered as a student – having to wait a long time to transfer funds and pay transfer fees each time at different banks.
In Indonesia, money transfer can be tedious for bank account holders – from funds stuck on transfer, to lengthy administrative processes and poor product experiences with outdated interfaces and complicated flow. Flip hopes to change that by helping individuals and businesses remove complexity and run their money transfer at low cost.
Flip, which aims to be the world’s most customer-centric financial technology company, enables users to conduct fair financial transactions from anywhere and anyone. The startup obtained a license from Bank Indonesia (BI) in 2016 to provide financial services, including interbank transfers to more than 100 national banks, international remittances, e-wallet recharges, salary transfers and transfers. business solutions.
The company said that the annual volume of money transfer to Indonesia was recorded at a face value of more than $ 2.2 trillion in 2020, citing Bank of Indonesia data.
âInterbank transfer is the most dominant payment method in Indonesia’s growing digital economy. Flip has a massive user base and is growing rapidly with exceptional retention measures, all of which point to the delicious and transparent product the company has builtâ¦ Sequoia Capital India believes Flip is the most exciting mainstream fintech company from Indonesia. The company is delighted to lead the third consecutive round, showing its strong belief in the business, âsaid Aakash Kapoor, vice president of Sequoia India.
Flip serves over seven million users for various types of financial transactions to and from different regions of Indonesia and overseas money transfers. Over 340 Indonesian companies and SMEs in travel, hospitality, e-commerce, transportation, education, outsourcing, crowdfunding and business management use employee payroll of Flip, customer refunds, bill / supplier payments and international transfers.
Its users have increased 10-fold from before the pandemic following increased technology adoption and mobility restrictions in Indonesia, Arriyan said. During the pandemic, the protocol regarding the restriction of mobility in Indonesia resulted in the closure of most bank offices, forcing people to use technological solutions for their financial transactions, he continued. The change in consumer behavior from visiting bank branches to using digital products has increased the number of users, Arriyan added.
âFlip is disrupting the existing interbank transfer market and has established itself as a clear leader in the category, with its premium product that enables seamless payment movement between banking partners,â said Deven Parekh, Managing Director of Insight Partners.
âAs the first institutional investor in Flip, we have witnessed incredible product growth and team execution over the past two years. Flip is now the dominant player in its field, with millions of Indonesians trusting the platform for their daily financial needs, âsaid Samir Chaibi, director at Insignia Ventures Partners.
Flip has added more than 250 members to its team to grow its financial services for millions of Indonesians. The company has grown its team size by 140% in recent months.