Brasilian Fintech TruePay attracts Kaszek and Monashees and raises $8.5m

September 1, 2021
Repórter na EXAME
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TruePay
With only two months on the market, the company wants to facilitate payments and access to credit between companies.

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There is still an untapped market when it comes to financial solutions for companies. This is the belief of TruePay, Fintech that was born with the mission to transform B2B payment methods, offering an easy and free way for retailers to access credit to buy from suppliers.

The company received seed capital of $8.5M from two of the main Latino venture funds: Kaszek Ventures (Cora, Cloudshop) and Monashees (Loggi, Rappi). The round was also attended by the GFC and ONEVC.


The startup was founded a year ago. The idea that gave rise to TruePay came from the experiences of founders Pedro Sônego de Oliveira and Luis Eduardo Cascão, investors with experience in funds such as Kaszek and DNA Capital. The two teamed up to solve a pain identified during the journey there: the excess of bureaucracy faced by retailers when accessing credit lines and the slow relationship between these professionals and their suppliers.

Given this scenario, TruePay has developed a business model that allows retailers to pay their suppliers using credit card receivables, that is, a installment sale in stores or e-commerces can serve as a guarantee - and credit limit - when paying companies that offer them products or services.

On the one hand, the proposal is to offer working capital to entrepreneurs, who are now also gaining a new lease of life when it comes to negotiating prices and repaying debts with suppliers of goods. On the other hand, the method comes to reassure suppliers, who traditionally work alongside the risks that accompany retail. “We want to build a reality where undertaking in Brazil is not an impossible mission,” says Luis Eduardo Cascão, co-founder of TruePay. "The goal is to make the relationship between retailers and suppliers uncomplicated." The entire operation, according to TruePay, is free of fees and the credit limit is granted automatically after entering the platform.


The intention is also to take from the supplier the responsibility for analyzing, granting and collecting credit for companies. Therefore, TruePay transfers the receivables, from one end to the other, automatically. “There is great inefficiency in this market. The retailer buys less than it should and the supplier sells less than it could. We want to unlock that,” says Pedro Oliveira, co-founder of TruePay.


Fintech has been testing its platform and building the technology step by step for nearly a year. But it wasn't until June of this year that TruePay's plans got off the ground. With a recent operation, fintech still does not talk about the number of customers or value transacted (despite stating that it is a significant amount), but anticipates the intention to expand the team of employees from 30 to 100 people by the end of the year.

The investment comes to accelerate this and other company plans. One of them is the adoption of new technologies and the hiring of new software engineers focused on platform development, quadrupling the team dedicated to the area in the coming months. In addition, much of the capital should be used in marketing strategies that, according to Oliveira, will come to show retailers that TruePay is not “too good to be true”.

“We see that there is as much opportunity in B2B today as there is in B2, whether in financial solutions or in customer experience. Now let's explore this in retail based on the vision we have of what all business relationships should be like,” he says.

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.

There is still an untapped market when it comes to financial solutions for companies. This is the belief of TruePay, Fintech that was born with the mission to transform B2B payment methods, offering an easy and free way for retailers to access credit to buy from suppliers.

The company received seed capital of $8.5M from two of the main Latino venture funds: Kaszek Ventures (Cora, Cloudshop) and Monashees (Loggi, Rappi). The round was also attended by the GFC and ONEVC.


The startup was founded a year ago. The idea that gave rise to TruePay came from the experiences of founders Pedro Sônego de Oliveira and Luis Eduardo Cascão, investors with experience in funds such as Kaszek and DNA Capital. The two teamed up to solve a pain identified during the journey there: the excess of bureaucracy faced by retailers when accessing credit lines and the slow relationship between these professionals and their suppliers.

Given this scenario, TruePay has developed a business model that allows retailers to pay their suppliers using credit card receivables, that is, a installment sale in stores or e-commerces can serve as a guarantee - and credit limit - when paying companies that offer them products or services.

On the one hand, the proposal is to offer working capital to entrepreneurs, who are now also gaining a new lease of life when it comes to negotiating prices and repaying debts with suppliers of goods. On the other hand, the method comes to reassure suppliers, who traditionally work alongside the risks that accompany retail. “We want to build a reality where undertaking in Brazil is not an impossible mission,” says Luis Eduardo Cascão, co-founder of TruePay. "The goal is to make the relationship between retailers and suppliers uncomplicated." The entire operation, according to TruePay, is free of fees and the credit limit is granted automatically after entering the platform.


The intention is also to take from the supplier the responsibility for analyzing, granting and collecting credit for companies. Therefore, TruePay transfers the receivables, from one end to the other, automatically. “There is great inefficiency in this market. The retailer buys less than it should and the supplier sells less than it could. We want to unlock that,” says Pedro Oliveira, co-founder of TruePay.


Fintech has been testing its platform and building the technology step by step for nearly a year. But it wasn't until June of this year that TruePay's plans got off the ground. With a recent operation, fintech still does not talk about the number of customers or value transacted (despite stating that it is a significant amount), but anticipates the intention to expand the team of employees from 30 to 100 people by the end of the year.

The investment comes to accelerate this and other company plans. One of them is the adoption of new technologies and the hiring of new software engineers focused on platform development, quadrupling the team dedicated to the area in the coming months. In addition, much of the capital should be used in marketing strategies that, according to Oliveira, will come to show retailers that TruePay is not “too good to be true”.

“We see that there is as much opportunity in B2B today as there is in B2, whether in financial solutions or in customer experience. Now let's explore this in retail based on the vision we have of what all business relationships should be like,” he says.

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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