South African point of sale (PoS) payments startup Yoco has raised US$16 million in Series B round.
The round was led by Partech, with participation from Orange Digital Ventures, FMO and existing Series A investors Quona Capital and Velocity Capital. This brings the total funds raised by the startup to date to US$23 million.
Yoco builds tools and services to help small businesses accept card payments and manage their day to day activities. Since launching its first product in late 2015, a card reader that connects with a merchant’s smartphone or tablet, the company has grown its base to over 27,000 South African small businesses.
Yoco’s strategy is to partner with small businesses early in their lifecycle and actively help them grow. It has been adding services to its payments solution, which now includes point of sale software, business intelligence, accounting integrations, and working capital financing, in its bid to create an operating system for the small business.
Yoco will use the new ejection of cash to grow its network of small business merchants, invest in product development, scale its operations and attract top-tier fintech talent.