Butter, a UK-based Buy Now Pay Later (BNPL) platform, announced on Tuesday it secured £15.8 million through its latest investment round, which saw participation from BCI Finance, the credit arm of London based venture builder Blenheim Chalcot, as well as a number of other private Angel investors.
Founded in 2017, Butter claims to be the UK’s first virtual card-based Buy Now Pay Later app that enables users to spread the cost of shopping from any online store over 2, 3, or 4 monthly installments, from 0% APR. Members earn rewards as they shop, which can be redeemed for discounts on our member’s only travel platform, Butter Holidays.
“Unlike other BNPL providers, Butter’s unique ‘over-the-top’ (OTT) solution enables customers to spread the cost of purchases with every store on the internet, without requiring merchants to support Butter via a technical integration. Instead, Butter’s in-app universal checkout takes care of paying retailers, with customers then able to repay the costs over 2, 3, or 4 monthly payments.”
While sharing more details about the company’s development, Timothy Davis, Co-Founder and CEO of Butter, stated:
“Our goal at Butter has always been to provide consumers with a simple and responsible alternative to credit cards and loans, enabling them to instantly spread the cost of anything from a takeaway to a holiday over a simple and transparent instalment plan, all within one easy to use account. We want to remove the stigma surrounding the buy now pay later offering and empower consumers by allowing them to budget and spend intelligently and in a manner that suits their individual financial needs.”
Davis further revealed that the funding secured during the investment round will be used to help facilitate the scale-up of the Butter business as he and his team continue to create “innovation “ in the buy now pay later space.