Stockholm – 19th of October 2011: iZettle, the social payments company, today announced it has received €8.2 million ($11.2 million) in Series A funding led by Index Ventures with co-investor Creandum and further investment from Charles Dunstone, CEO and Co-founder of The Carphone Warehouse.
The Series A funds will be used to expand into chip-card markets outside of Sweden as well as support the development of the iZettle sevice, which enables anyone to take credit or debit card payments anytime, anywhere and makes it easy to share purchases with friends on Facebook.
iZettle’s free iPad, iPhone and iPod touch app and mini chip-card reader launched in Sweden in August 2011 and became an instant hit in the App Store; It rocketed to number one in the finance category and number four in the overall App Store.
Ben Holmes, Index Partner who joins iZettle board of directors comments: ”iZettle is a company with the right technology at the right time. Its simple and cost-effective system is opening up a whole new frontier for the payments industry.”
“It all comes down to fantastic convenience,” adds Simon Örtqvist, who operates the Mexican food cart Edvinsson&Örtqvist in Stockholm. “I want to capture every sale possible. People don’t always have cash in their pocket. iZettle gives my customers the option of paying with a card.”
iZettle puts security at the heart of its business. It is EMV (Europay, MasterCard and VISA) approved, and compliant with the Payment Card Industry Data Security Standard (PCI-DSS). No sensitive data is ever stored on the mobile device or iZettle reader, and all data traffic is encrypted.
“We were impressed that the iZettle team had managed to build a system which achieved the high security levels required for chip card processing yet also remained beautifully simple and intuitive to use. We look forward to helping the team with their global expansion.” says Creandum General Partner, Johan Brenner, who is also joining iZettle’s board.
The company was founded in April 2010 by serial entrepreneurs Jacob de Geer, former vice president of business development at TradeDoubler, and Magnus Nilsson, former CEO at Wayfinder and executive vice president of EF Education Group.
NOTES TO EDITORS
About Index Ventures
Index Ventures is a leading venture capital firm active in technology, biotech and clean tech venture investing since 1996. The firm is dedicated to helping entrepreneurial teams in the Information Technology and Life Science sectors build their companies into market defining global leaders. They invest from seed through to growth stage companies. The firm has offices in Geneva, London, San Francisco and Jersey. Index’s current portfolio includes Criteo, Boku, Lookout, Mimecast, Ozon, Path, Pentaho, Rightscale, Soundcloud, Storsimple and viagogo. Exits of note include Cloud.com (acquired by Citrix), RPX (Nasdaq: RPXC), Lovefilm (acquired by Amazon), Playfish (acquired by Electronic Arts), MySQL (acquired by Sun), Last.fm (CBS) and Skype. For more information, please visit www.indexventures.com.
Creandum is a Nordic venture capital firm investing in innovative and fast-growing technology companies within consumer, software and hardware industries. The firm has €120M under management and 15 portfolio companies like Spotify, Cint and Videoplaza ranging from early stage to expansion. All investment professionals at Creandum have started companies or been part of successful startups during their career. For more information, please visit www.creandum.com.