UK fintech Paysme winds down operations
UK-based fintech Paysme, which offered a financial services super-app built to enable small businesses “to accelerate their transition to the digital economy“, has closed down.
Paysme becomes the latest UK fintech to close down
Founded in 2010, the London-based fintech sought to deliver a suite of financial services for underserved business owners, including digital banking, mobile payments, credit cards and accounting.
Despite raising £1 million via private capital platform Globacap in August 2021, followed by a £50,000 seed investment the following year, Paysme founder and CEO Derek Stewart took to LinkedIn this week to share the news of the fintech’s closure.
“It’s with a heavy heart I announce we’ve wound down activities at Paysme over the last few weeks,” Stewart writes.
“While our purpose, product and brand made a meaningful impact in three traditional small business communities…the challenges we faced during and post Covid meant the business was not in a sufficiently strong financial position to grow to the next milestone.”
Paysme becomes the latest in a growing line of firms to wind down as a result of the global economic downturn and the increasingly constrained appetite of investors.
It joins rental fintech Fronted, remittance start-up Zazuu, payments app Cardeo and digital asset wallet Mode among some of the many UK-founded fintechs to shut down their operations within the last year alone.
