In this WiseTack series, I have spoken with founders and CEOs of small companies that are currently making an impact in the tech space. We asked them about their goals, why they started their business, how they plan on expanding and where they get their ideas from.
Wisetack is a consumer financing company that aims to make it easy for in-person businesses to offer consumers a quick and convenient way to finance large purchases. It uses an application that takes just a minute to complete, allowing consumers to choose their own payment schedules. The company works with thousands of merchants, including Housecall Pro, Beehive Plumbing, and Prime Electrical.
It is a software platform that embeds consumer financing options into existing software platforms, allowing in-person businesses to offer consumers a simple and fast way to finance their purchases. The company has recently raised a $45 million Series B round led by Insight Partners and Greylock Partners. This funding round will help Wisetack expand into new service-based verticals and accelerate its growth.
Founders Bobby Tzekin and Liz O’Donnell left their jobs at VaroMoney, a holding company for Varo Bank, and started Wisetack in 2018. They saw the potential of making it easier for in-person businesses to offer consumer financing. As a result, they teamed up with technologists from PayPal and Lending Club to develop a solution.
Focus on service-based businesses
The latest round of financing from Wisetack is a worthy addition to the startup ecosystem and will no doubt boost the growth of the company. As the home of the buy now, pay later solution, Wisetack is redefining the way in which consumers buy services, products, and goods. This technology is not only a useful tool for home service professionals, but also allows larger transaction sizes than their ecommerce counterparts. With the addition of the new funding, Wisetack has plans to double its team size to more than 40 in the coming year. It’s a bold move, but one that will undoubtedly pay off in the long run.
The new round of financing will be used to expand the company’s offerings into new verticals. In particular, the company is focusing on service-based businesses. For example, the company has already teamed up with Housecall Pro, a provider of home services. By integrating the company’s technology with its own in-house solution, Wisetack is able to offer consumers a viable option to pay for their home services over time.
Plans to expand to other verticals
If you are looking to expand your business, it is important to consider your options. Whether you are developing a new product, expanding a service, or providing broad offerings, you need to decide what it is you are trying to accomplish and how you will achieve it. In addition, you need to consider your core strengths, problems, and current products. This way, you can ensure that your expansion plans will be successful.
When expanding to another vertical, you need to know your customer’s needs and preferences. It is also important to engage with potential customers. To do this, you need to gather reliable data about the size of the market and its growth rate. You may have to redevelop your products and services to fit a new customer’s needs, which means that you will need to invest in the right resources to do so.
Developing a business strategy for a new vertical can be difficult. Getting in touch with a new audience is often a slow process, but it is essential. Often, it is best to narrow your focus on a single market. That will help reduce the amount of competition in the industry.
Wisetack has raised $64 million since its founding in 2018. The company offers a platform for in-person businesses to offer consumer financing through their software. It works with thousands of merchants, including auto repair, home services, legal, medical, and insurance professionals. Now, the company has announced a $45 million Series B round. This investment will enable Wisetack to expand its customer base and boost growth. They also plan to increase their team from 40 to 50 by 2021.
In addition to their consumer financing capabilities, the company provides a seamless API integration that allows in-person businesses to offer larger transaction sizes than ecommerce. The company is already working with many vertical SaaS companies, like Jobber, Housecall Pro, and HVAC contractors. By partnering with these companies, Wisetack has been able to rapidly grow. With this funding, the company hopes to continue to expand into other service-based verticals. Specifically, the company plans to offer consumer financing to HVAC contractors, plumbers, and veterinary clinics.