Earned Wage Access (EWA) service provider Paywatch has raised US$9 million in a Pre-Series A funding round led by returning investor Third Prime.
The round also received participation from Hana Ventures which is the venture arm of Hana Financial Group in Korea, Parkwood Corp. and the endowments of Vanderbilt University and University of Illinois Foundation.
The company plans to use the new funds to grow its product offerings and strengthen its presence in existing markets Malaysia and South Korea.
Paywatch is also looking to accelerate its expansion efforts into new markets including the Philippines and Hong Kong where it expects to launch in 2023.
Founded in 2020, Paywatch has over 100 corporate clients and claims that its earned wage solution has already reached a 50% engagement rate among its Malaysian users this year.
Earlier this year, Paywatch managed to bag US$5.25 million in a seed funding round.
“Though macroeconomic conditions are catching up to everyone globally, many low-income workers were already experiencing financial burdens.
During our year in Malaysia, we have seen first-hand how much of a difference our service makes to employees’ state of mind. For companies, we have proven to increase recruitment and retention,”
said Richard Kim, Founder and CEO at Paywatch.
