A GLOBAL technology and financial services platform offering revenue-based financing for digital merchants and startups announced the launch of Choco Payment on Friday. Powered by the global financial infrastructure platform Stripe Connect, Choco Payment by Choco Up is an integrated payment solution that provides revenue-based financing of up to $10 million to businesses with recurring revenue across verticals. such as e-commerce and software as a service, among others. .
With Choco Payment, business owners could access flexible working capital in as little as 24 hours to accelerate business growth while using Stripe Connect to increase payment processing volumes.
A significant hurdle for digital merchants in Asia-Pacific (APAC) is that they face financial challenges in their quest to establish a global presence, often finding themselves facing a substantial funding gap to seize revenue opportunities. Additionally, many e-commerce businesses lack the physical assets needed to obtain loans from banks, which often deem their profiles too risky. Many digital marketers also couldn’t turn to private equity or venture capital, which tend to invest in disruptive technology sectors, leaving many digital marketers on the hook. As a result, the success rate of securing private equity financing could be as low as 0.7%.
Additionally, the APAC region has a huge but fragmented digital payment market where banking systems, financial regulations, and available payment options are highly localized. Managing cross-border payments has become frustratingly complex, costly and time-consuming, with many systemic and monetary variances. The abundance of different payment options, the lack of inter-usability and the prohibitive costs of payment gateways have also played a significant role in hindering the cross-border expansion of digital merchants.
Choco Payment offers a global payment processing solution integrated with growth funding, helping digital merchants overcome barriers to growing their business. The Choco Payment Platform integrates Stripe’s multi-currency payment processing capability with a single integrated payment gateway, enables digital merchants to accept online payments in over 135 currencies in over 180 countries, and manage funds via more than 10 different payment methods, including credit cards, digital wallets, bank transfers, etc.
“Asia is leading the way in payments and financial infrastructure innovation. We are excited to work with companies like Choco Up who are redefining the future of finance, making funding more readily available to merchants across region and helping them keep pace with digital transformation trends,” said Paul Harapin, Head of Asia Pacific and Japan, Revenue and Growth at Stripe. “Choco Up’s integrated financing solution would help remove barriers to growth that have hindered Asian digital merchants and open up new opportunities for them to grow their business faster.”