PayJoy, a Saratoga, California-based mobile finance startup, raised $18M in equity and debt funding.
The raise included:
– $8.5M Series A equity investment led by Union Square Ventures, with participation from Draper Nexus Ventures, Fenway Summer Ventures, Orange Digital Ventures, and Core Innovation Capital,
– $4M of venture debt from Western Technology Investment, and
– $5.65M of private lending capital.
In conjunction with the funding, USV partner John Buttrick will join PayJoy’s board of directors while new board advisors include Mitch Kitamura, Raj Date, Olawale Ayeni, and Arjan Schutte.
The company has raised over $22.5M.
Led by Doug Ricket, CEO, Gib Lopez, COO, and Mark Heynen, CBO, Payjoy is a consumer finance startup that offers a pay-as-you-go technology solution to allow underserved consumers to transform up-front purchases of consumer electronics into monthly installment plans. The company’s proposed solution allows customers to register for PayJoy at a local merchant with their Facebook account, phone number, and government issued I.D., choose a smartphone, make a deposit, and select a 3, 6, 9, or 12 month payment plan. Merchants then install the PayJoy software on the new phone and once the purchase is paid, the phone is fully unlocked.