Zūm Rails Raises CAD$10.5M in Series A Funding

Zūm Rails, a Montreal, Canada-based payments gateway company that merges open banking with instant payments, raised $10.5M CAD Series A funding round.

The round was led by Arthur Ventures.

The company intends to use the funds to further expand its payments offerings, including the introduction of new Banking-as-a-Service features for merchants.

Led by CEO Marc Milewski, Zūm Rails merges open banking and instant payments through an all-in-one payments gateway. Its multi-rail approach to payments enables businesses and their customers to utilize the payment rails that best fit their needs. Zūm Rails integrates open banking and instant payments into a single gateway that powers the entire transaction journey. This includes everything from verifying a customer’s identity, to linking directly with their bank account to reduce fraud and failed transactions, to facilitating payments via the method of the customer’s choosing. Zūm Rails’ ‘omni-rail’ approach to payments includes both traditional credit, debit and electronic funds transfer (EFT) options, as well as real-time options through partners such as Visa Direct, Mastercard, MX and Canada’s Interac network.

The company works with financial services companies like Visa, Mastercard, Fiserv and MX to support the entire payments journey—all from a single API.

Commenting on the news, Marc Milewski said: “We’ve brought open banking and instant payments together in an omni-rail solution that enables companies to check off all of their payments needs from a single gateway. With Arthur Ventures’ investment, we’re positioned for further expansion of our solution through the addition of Banking-as-a-Service and other new capabilities.”

FinSMEs

23/02/2024