Danish Startup FlatPay Joins Ranks of European Fintech Unicorns

Danish startup FlatPay has officially joined the ranks of European fintech unicorns, achieving a valuation of one point five billion dollars, approximately one point seven five billion dollars. This milestone comes as FlatPay provides card payment solutions specifically tailored for small and medium-sized businesses, or SMBs, a sector that comprises ninety-nine percent of European enterprises.

Since its inception just three years ago, FlatPay's customer base has surged from seven thousand to around sixty thousand within just a few months, demonstrating significant market traction. The company attributed this rapid growth to its unique pricing model, which offers small merchants a flat transaction rate for its card terminals and point-of-sale systems.

CEO and co-founder Sander Janca-Jensen emphasized that while achieving unicorn status is commendable, his focus remains on annual recurring revenue, or ARR, which has crossed one hundred million euros, roughly one hundred sixteen million dollars, and is increasing by nearly one million euros daily.

FlatPay aims to triple its ARR to between four hundred and five hundred million euros by twenty twenty-six. To support its ambitious growth, FlatPay raised one hundred forty-five million dollars in its latest funding round, which included participation from investors such as AVP Growth, Smash Capital, and Dawn Capital.

The latest capital injection will enable FlatPay to expand its operations in existing markets, including Denmark, Finland, France, Germany, Italy, and the U.K., and potentially enter one or two new markets in the coming year, with job postings hinting at a possible expansion into the Netherlands.

Currently employing fifteen hundred staff members, FlatPay aims to double its workforce by the end of next year, as the company believes that scaling its team is just as crucial as increasing revenue. The company has adopted a hands-on approach in its sales strategy, often sending representatives directly to prospective customers with demo kits to showcase their products.

This personalized method, while resulting in higher customer acquisition costs, has proven effective in driving demand and growth. FlatPay is also integrating artificial intelligence into its services for real-time capabilities and is exploring voice AI technology.

Future plans include a banking suite that will provide cards and accounts, enabling SMB owners to gradually adopt these services without feeling overwhelmed. This emphasis on simplicity and personal interaction positions FlatPay as a competitive player against larger fintech firms like PayPal and Stripe, as well as traditional payment providers.

The rapid rise of FlatPay reflects the broader trend of innovation and investment in the European fintech landscape, highlighting the critical role that digital payment solutions play in the global economy.