Swaypay: Not Boring Investment Memo

The best way for Shopify to grow take rates is to help drive incremental distribution for its merchants. Sure, most of the merchants will get most of their sales by driving their own traffic to their Shopify stores (through their own branding and marketing efforts across online and offline channels), but if Shopify can provide them with incremental... See more

Donnelly, like many of the creators who make their living on platforms like YouTube, Instagram, and Twitch, has long felt shunned by institutions that don’t understand that his lifestyle is also his business. That makes him the target market for Karat, a new startup offering financial services to the influencer set.

Strong Early Traction. After a successful beta, Swaypay has 60 retailers on board for its Q4 launch and is targeting 200-300 by end of year.