eBay invests in Zilch at $2bn valuation

Zilch is a London-based FinTech company that has received backing from eBay, helping it maintain a $2 billion valuation. The company operates in the Buy Now Pay Later sector and has received funding in the ‘low single digit millions’ from eBay, according to The Telegraph. Zilch has been on a fast growth trajectory, with $460 million in debt and equity funding and achieving the status of Europe’s fastest FinTech double-unicorn.

The company has rapidly built a customer base of 3.5 million users in just three years and expanded its operations to the United States with the opening of an office in Miami. Zilch is also rumored to be considering a public listing in London.

One of the key aspects of Zilch’s offering is its commitment to providing access to credit for individuals who are typically excluded from mainstream credit. They have introduced a product that allows people to build their financial profiles safely and responsibly without paying any interest.

The co-founder and CEO of Zilch, Philip Belamant, highlighted the importance of London’s financial services industry for UK FinTech companies but also noted the need for FinTechs to adapt to changing investor priorities due to factors like rising interest rates and inflation.

Zilch has achieved significant results in its short history, generating £300 million in rewards and savings for its users. The company offers a ‘Pay Now’ debit product that allows users to earn rewards and a ‘Pay in 4 over 6 weeks’ credit product with zero interest. Zilch emphasizes that it prioritizes consumer interests and maintains a high Trustpilot rating.

Philip Belamant expressed pride in the company’s accomplishments and stated that nearly 10% of the UK adult working population is now registered as Zilch customers. The company’s growth in fundamental unit economics, high gross profit margins, and low credit losses indicate a clear path to profitability.

Zilch is also on track to process more sales in the next 12 months than in its entire history, pointing to its strong growth trajectory.