Fintech unicorn Zeller moves into small business banking

Fintech Zeller is taking on the big four banks to offer financial services to the small business sector, launching a new transaction account, debit card, and app.

It’s a major shift in strategy for the Melbourne startup, founded by former Square exec Ben Pfisterer and Dominic Yap. The three-year-old venture launched in 2021 with a focus on face-to-face payments, with an EFTPOS terminal, business transaction account, and Mastercard, in a kit that can be ordered online and purchased at Officeworks.

Last year Zeller raised $100 million in a Series B to claim unicorn status in record time, talking just half the four years it took Airwallex to reach a $1 billion evaluation. It’s has raised $181 million, including a $6.3 million seed round in June 2020.

Pfisterer, the fintech’s CEO, said the new product suite doubles Zeller’s addressable market opportunity to more than 2.6 million businesses.

The platform enables users to view financial reports through an iOS or Android. They can create zero-cost transaction accounts, issue cards instantly, and send invoices through the Zeller app. 

Pfisterer said the Zeller debit card enables businesses to issue virtual or physical cards in under 25 seconds for in-store and online business expenses.

“The need for competition in the financial services sector is still very much unmet. We are proud to support over 30,000 face-to-face businesses in under two years and are now excited to expand our customer base to include any Australian business seeking a standalone business transaction account, debit card, or online invoicing solution as a best-in-class alternative to the big four banks,” he said. 

“Businesses across Australia will no longer have to piece together a patchwork of financial products from the incumbent banks and other providers to shape a solution that meets the needs of their business.’

“Beyond the inconvenience of disparate, disconnected software, at least 65% of Australian business owners surveyed do not feel supported by their traditional bank. Zeller will continue to expand our offering to support even more of the needs of business owners so they can transition all of their financial services to Zeller.”