Tranch: Revolutionizing B2B Payments

In 2021, Philip Kelvin and Beau Allison were no strangers to the challenges businesses faced. They had already made a mark at Trussle, a proptech startup in the UK, but they were driven by a desire to solve a pervasive problem they couldn't ignore. Both Kelvin, a former CFO, and Allison, who led engineering, knew firsthand the frustrations of inflexible payment options for essential SaaS tools and business services. From these frustrations, Tranch was born—a solution designed to bring much-needed flexibility and control to business payments.

A Frustration Turned into a Solution

The mission was clear: help businesses manage their cash flow better by allowing them to spread large expenses over several months. Tranch's innovative "Pay with Tranch" method was crafted to do just that. By embedding itself into the sales journeys of SaaS sellers and other service providers, Tranch enabled suppliers to offer their customers the option to pay over six to twelve months. This wasn't just a payment method; it was a way to give businesses the liquidity they needed without sacrificing the tools crucial for their growth.

Building on Advanced Technology

What set Tranch apart was its advanced credit risk modelling. Combining traditional credit reports with open banking data, the platform could extend credit lines against larger expenses and for longer durations than typical B2B BNPL solutions. This technological edge meant that more businesses could benefit from flexible payment options, transforming how they managed their finances and fostering long-term growth and stability.

Strategic Partnerships and Expansions

In its early days, Tranch secured significant funding, raising millions from leading investors like Flash Ventures and Global Founders Capital. This financial backing wasn't just a vote of confidence; it was the fuel needed for rapid expansion. Strategic partnerships, such as the one with Yobata, enhanced Tranch's capabilities, allowing it to offer even more sophisticated and scalable solutions to its users.

A Digital-First Approach in a Global Market

Tranch's digital-first approach resonated deeply within the tech community. As the platform gained traction, it joined Y Combinator's Summer 2022 cohort, setting the stage for its entry into the US market. From its offices in New York, Tranch continued to innovate, providing financial flexibility to tech companies and other businesses across various industries.

The Impact and the Future

The impact of Tranch's solutions was immediate and profound. By the end of 2022, the platform had seen a tenfold increase in the volume of monthly invoices converted into flexible payments. Companies across the globe, from procurement platforms to international law firms, began offering the "Pay with Tranch" option, reflecting the widespread adoption and trust in Tranch's approach.

Continuing the Journey

Today, Tranch is more than just a payment platform. It's a testament to the power of addressing real business challenges with innovative solutions. Kelvin and Allison's vision for a more flexible, efficient financial landscape for businesses continues to drive the company's growth. With ongoing plans to expand their team and onboard more suppliers, Tranch is poised to redefine the B2B payment experience on a global scale.

The journey of Tranch from an idea born out of frustration to a transformative force in B2B payments illustrates the impact of combining technological innovation with a deep understanding of business needs. Kelvin and Allison's story is one of resilience, vision, and a relentless pursuit of better solutions, offering a blueprint for future entrepreneurs aiming to make a significant impact in their industries.

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