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Brazilian Fintech Iugu receives authorization from Central Bank to become payment institution

August 31, 2020
Por
Talita Moreira
Talita Moreira
Repórter de bancos e crédito do Valor
📷
startupi.com.br
With the change in status, iugu will also be able to offer payroll services.
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Fintech iugu, which automates collection systems, received authorization from the Central Bank (BC) on Thursday to become a payment institution. With it, it intends to expand the offer of services for companies, including account, card and tools for sending money, such as boleto and TED to third parties.

“Iugu emerged with a focus on receiving, but now we will be able to offer payments. It is much easier to have an account that meets the needs of our customers and they can reduce their dependence on banks ”, says Patrick Negri, president of fintech. “The license gives us the opportunity to offer services directly.”

The payment institution authorization was published on Thursday in the "Official Gazette", after three and a half years of analysis by the BC. With the change in status, iugu will also be able to offer payroll services.

According to Negri, fintech has technology to automate this process based on a single registration made by the company on the platform and is even able to update the values ​​when there is a dispute, monitoring the union in the category.

Iugu has about 50 thousand active accounts and the expectation is to reach 200 thousand by the end of next year. The focus is on small companies with at least five employees, but there are already customers with around 600 employees. For the management of services, fintech charges monthly fees ranging from R $ 99 to R $ 1,500, depending on the contracted package.

Negri says the pandemic has slowed growth among service companies, but has given strength to the retail segment. "Whoever sells products had to run online," he says.

According to Negri, iugu's revenue has grown 150% per year for the past eight years. In 2019, it was R $ 40 million and the expectation for this year is to stay between R $ 80 million and R $ 90 million. The company is now in a new round of fundraising, after raising R $ 12 million in previous operations.

Las opiniones compartidas y expresadas por los analistas son libres e independientes, y de ellas son responsables sus autores. No reflejan ni comprometen el pensamiento u opinión de Latam Fintech Hub, por lo cual no pueden ser interpretadas como recomendaciones emitidas por la platafomra. Esta plataforma es un espacio abierto para promover la diversidad de puntos de vista sobre el ecosistema Fintech.

Fintech iugu, which automates collection systems, received authorization from the Central Bank (BC) on Thursday to become a payment institution. With it, it intends to expand the offer of services for companies, including account, card and tools for sending money, such as boleto and TED to third parties.

“Iugu emerged with a focus on receiving, but now we will be able to offer payments. It is much easier to have an account that meets the needs of our customers and they can reduce their dependence on banks ”, says Patrick Negri, president of fintech. “The license gives us the opportunity to offer services directly.”

The payment institution authorization was published on Thursday in the "Official Gazette", after three and a half years of analysis by the BC. With the change in status, iugu will also be able to offer payroll services.

According to Negri, fintech has technology to automate this process based on a single registration made by the company on the platform and is even able to update the values ​​when there is a dispute, monitoring the union in the category.

Iugu has about 50 thousand active accounts and the expectation is to reach 200 thousand by the end of next year. The focus is on small companies with at least five employees, but there are already customers with around 600 employees. For the management of services, fintech charges monthly fees ranging from R $ 99 to R $ 1,500, depending on the contracted package.

Negri says the pandemic has slowed growth among service companies, but has given strength to the retail segment. "Whoever sells products had to run online," he says.

According to Negri, iugu's revenue has grown 150% per year for the past eight years. In 2019, it was R $ 40 million and the expectation for this year is to stay between R $ 80 million and R $ 90 million. The company is now in a new round of fundraising, after raising R $ 12 million in previous operations.

Las opiniones compartidas y expresadas por los analistas son libres e independientes, y solamente sus autores son responsables de ellas. No reflejan ni comprometen el pensamiento o la opinión del equipo de Latam Fintech Hub y, por lo tanto, no pueden interpretarse como recomendaciones emitidas por la plataforma. Esta plataforma es un espacio abierto para promover la diversidad de puntos de vista en el ecosistema Fintech.

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