1107 McDonough Place, McDonough, GA 30253 Mon–Fri 10 AM–5 PM
1010Computers
404-585-6253

September 14, 2021

Here’s what your BNPL startup could be worth

It’s a two-Exchange Tuesday, everyone. First up, we’re talking fintech valuations. Next up, we’re digging into Atlanta.

Last week’s news that PayPal intends to buy Japanese startup Paidy marked the second major acquisition of a buy now, pay later (BNPL) company this year. PayPal’s news followed an even larger deal by Square for the Australian BNPL company Afterpay.

The multibillion-dollar exits provided hard market proof that what BNPL startups are building has value beyond simple operating results; major fintech platforms are willing to shell out large sums for their revenues and possible strategic value.

The Exchange explores startups, markets and money.

Read it every morning on Extra Crunch or get The Exchange newsletter every Saturday.

Because both deals happened in 2021, they provide two data points for the value of BNPL companies operating at scale. And because both Square and PayPal provided some information to their investors concerning their transactions, we have a little bit of comparative work to do.

Let’s do a little math and figure out how much PayPal and Square investors are paying for transaction volume across both platforms. Then, we’ll peek at what Affirm is worth along similar lines. We’ll wrap with a look at Klarna’s numbers to see if there’s anything we can dig up there.

Our goal is to find out what sort of price floor or ceiling the Paidy and Afterpay deals imply, if other players in their space are matching that figure, and why. This will be fun!

What would you pay for $1 of BNPL GMV?

Square’s Afterpay deal is worth some $29 billion, a huge sum. It isn’t hard to see why the U.S. consumer- and business-focused fintech is willing to write so large a check — Afterpay does volume.

Powered by WPeMatico

Need practical help?

Start with the problem your technology is causing.

404-585-6253

Start service

Choose the right service path

In-store visits can be scheduled now. Mobile and remote service begin as requests that require supervisor review before any service appointment is confirmed.

In-Store RepairChoose an available repair-center time. Completing the RepairShopr form creates a valid in-store visit appointment without waiting for staff confirmation.
Your selected time is your in-store appointment

Complete the RepairShopr booking form after choosing a time. The appointment and contact details are saved as a RepairShopr Lead so the team can find the visit when you arrive and begin customer-account and ticket entry faster.

Choose an In-Store Appointment Time

Current limitation: the hosted booking form records the selected time and contact information, but it does not currently ask for device or issue details. Please have that information ready at check-in.

Prefer to speak with someone? Call 404-585-6253.