Israeli fintech startup Tapcheck raises USD 225 million in equity, debt funding

Tel Aviv, April 15: Tapcheck, an Israeli fintech startup that offers an on-demand pay platform, announced on Monday that it has raised USD 225 million in combined equity and debt financing. This latest funding includes a USD 25 million Series A extension round led by existing investor, PeakSpan Capital, and a USD 200 million credit facility provided by Victory Park Capital.

Founded in 2019 by entrepreneurial husband-and-wife team Ron and Kayling Gaver, Tapcheck emerged from the duo's vision to address the financial difficulties caused by traditional pay cycles. The company enables workers to access their earned wages seamlessly before payday, easing the paycheck-to-paycheck strain and in turn, improving employee morale, retention, and productivity.

Tapcheck's on-demand pay platform integrates with nearly 300 payroll and timekeeping systems, offering a smooth and precise experience for employers and employees alike. Provided at no cost to employers, Tapcheck allows employees to "safely and responsibly" access their earned wages, helping them avoid hidden fees and have greater financial flexibility.

Employers using Tapcheck report over 50 per cent improvement in employee retention, with 70 per cent of employees noting that it reduces their financial stress, says the company.

In the past five years, Tapcheck has facilitated over USD 1 billion in early wage funding and served 12,000 employer locations. (ANI/ TPS)

Reader Comments

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Sarah K.

This is such an important innovation! I've been using Tapcheck through my employer and it's been a lifesaver when unexpected expenses come up. No more payday loans with crazy interest rates 🙌

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Michael T.

Interesting concept but I wonder about the long-term effects. Doesn't this just encourage living beyond your means? I'd be curious to see data on whether users actually improve their financial health or just get stuck in a cycle of early withdrawals.

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Jamal R.

$225M is huge! The fintech space in Israel is really booming right now. Love seeing husband-wife founder teams succeed too - that's a dynamic we don't see enough of in tech.

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Lisa P.

As an HR manager, we implemented Tapcheck last year and the impact has been incredible. Employees are less stressed and more focused at work. The retention stats they mention match our experience exactly.

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David L.

While I appreciate the innovation, I hope they're being transparent about any fees to employees. "No cost to employers" makes me wonder where the revenue comes from. The article mentions avoiding hidden fees but doesn't detail the business model.

We welcome thoughtful discussions from our readers. Please keep comments respectful and on-topic.