Calgary fintech ZayZoon has secured $25.5 million in new financing, consisting of $12.5 million in equity and $13 million in a new credit facility with ATB Financial.
The ZayZoon platform allows employees across the United States to instantly access their earned wages on-demand with more than 3,000 businesses using ZayZoon to offer their employees quicker access to pay.
Businesses like McDonald’s, Burger King, Senior Helpers and Choice Hotels have partnered with ZayZoon to improve employee recruitment, retention and overall workplace productivity.
This current round of equity, led by Carpae Investments and Alpenglow Capital, brings the total equity raised by the company to $25 million. This round also saw participation from existing shareholders which include InterGen Capital, Prairie Merchant Corporation, and angel investors Sanders Lee (Hopewell) and Rob Ohlson (Maillot Homes), among others.
ZayZoon’s core product Wages On-Demand gives employees access to wages that they have already earned but would otherwise have to wait until their next payday to receive. In less than three minutes, an employee can sign up and access their earned wages instantly to their existing bank account or other available wallet options for little or no cost.
With more than 100 payroll integrations, including being a Platinum Partner on the ADP Marketplace, over 60 percent of businesses across the United States can activate ZayZoon for their employees in less than 60 minutes at zero cost and with no administration required.
Jamie Ha, co-founder and CFO of ZayZoon, says, “We are extremely excited to see the tremendous level of interest and support for this important offering for both employers and employees. With this financing, we are positioned to bring ZayZoon’s Wages On-Demand service to millions of people across America, especially during a phase when hardworking employees need it the most.”
This round of financing opens the doors of opportunity to further expand ZayZoon’s product offering beyond Wages On-Demand and into additional products and services that financially improve employee outcomes and financial wellness. Furthermore, it enables ZayZoon to pursue hiring for key roles across Growth, Operations and Engineering.