BayaniPay, the fintech company known for its innovative cross-border payment solutions for Overseas Filipino Workers (OFWs), announced major milestones in a press briefing held in Makati City today. The announcements were made by the company’s CEO, Winston Damarillo, alongside key executives and investors.
Series A Funding
The fintech company has successfully raised US$3 million in Series A funding, bringing the total capital raised to US$9.6 million. This fresh influx of capital is aimed at bolstering the company’s technological infrastructure, enhancing cybersecurity measures, and expanding its market development team to ensure robust customer success.
“We are grateful for the continued trust of our investors. This expansion marks a major milestone in our commitment to provide convenient, secure, and low-cost global payment services to Philippine institutions, so that they can broaden their international reach and give their customers better ways to pay them,” according to Damarillo at the press briefing.
Global Expansion
Damarillo also outlined BayaniPay’s ambitious plans for global expansion. The company, which has already seen substantial growth, is setting its sights on new territories within the ASEAN region. Countries like Thailand, Malaysia, Indonesia, and Singapore are among the top targets for BayaniPay’s expansion efforts.
BayaniPay’s expansion into these countries reflects a strategic move to tap into the burgeoning digital payments market within Southeast Asia. This region is experiencing rapid growth in digital financial services, driven by increasing smartphone penetration, a rising middle class, and the growing preference for cashless transactions.
With a vibrant economy and a tech-savvy population, Thailand is poised to benefit significantly from BayaniPay’s services. The country’s push towards a digital economy aligns well with BayaniPay’s offerings, potentially making it a key market for the company. Known for its diverse population and robust financial infrastructure, Malaysia offers a fertile ground for digital payment solutions. BayaniPay can leverage Malaysia’s advanced banking systems and high internet penetration to rapidly grow its user base. As the largest economy in Southeast Asia, Indonesia presents a vast market with immense potential. The country’s youthful demographic and growing internet user base make it an ideal target for BayaniPay’s expansion. Meanwhile, as a global financial hub, Singapore provides a strategic entry point for BayaniPay into the ASEAN region. The city-state’s highly developed financial sector and supportive regulatory environment make it an attractive market for fintech companies.
By targeting these countries, BayaniPay aims to establish a strong presence in Southeast Asia, capitalizing on the region’s dynamic economic landscape and increasing demand for innovative financial solutions. This expansion is expected to not only drive BayaniPay’s growth but also contribute to the digital transformation of financial services across ASEAN.
Strategic Partnerships & Future Plans
BayaniPay has established strategic partnerships with major players in the real estate sector, such as SM Development Corporation (SMDC), to streamline their payment processing. This B2B approach has been instrumental in the company’s rapid growth, allowing it to scale by partnering with enterprises that bring in large volumes of customers.
“By moving from a B2C to a B2B model, we’ve been able to achieve hypergrowth. For example, one of our real estate clients alone has brought us 80,000 customers. The initial challenge was to demonstrate our technology could save money for OFWs sending remittances back home. We have exceeded those expectations, processing US$200 million in transactions this year, up from US$20 million last year,” added Damarillo.
The company also leverages a “bricks to clicks” strategy, integrating digital tools with physical locations to enhance customer engagement and convenience. A notable partnership in this area is with Seafood City, a popular grocery chain in the US frequented by the Filipino community.
BayaniPay was founded in 2021, during the height of the COVID-19 pandemic, to address the financial challenges faced by OFWs in sending money back to the Philippines. Initially focusing on North America, the company has since expanded its services to facilitate consumer-to-business (C2B) payments, particularly in the real estate sector.
The company has also rebranded its product offerings under the GlobalPay umbrella, catering to both cross-border and domestic payment needs. This includes automating payment processes for large enterprises, making it easier for institutions like real estate developers, schools, and hospitals to manage their transactions efficiently.