ZayZoon, a provider of Earned Wage Access (EWA) solutions for small and mid-sized businesses (SMBs), has raised $34.5 million in debt and equity for its Series B financing. The round was led by Framework Venture Partners, with co-investment from Export Development Canada (EDC) and participation from ATB Financial, as well as existing shareholders.
The funding will support the company’s recruiting efforts and continued growth and innovation. ZayZoon’s EWA platform provides employees with access to their earned wages before their regular payday, offering financial stability and helping employers support financial education and wellness among their teams.
With 63% of Americans living paycheck to paycheck, EWA solutions like ZayZoon’s have gained popularity, particularly in industries such as hospitality, retail, and food service, where workers are facing ongoing labor shortages.
ZayZoon has experienced significant growth, with more than 400% year-over-year growth in payouts. The company’s platform has gained popularity among franchisees and locations, including Dunkin’, McDonald’s, and Amazon Warehouses, as well as larger corporate customers like LIDS.
To meet the demand for EWA and employee engagement platforms among SMBs, ZayZoon has expanded its list of payout options to include bank deposits, debit cards, and fee-free payout options like Instant Gift Cards and Gas Cards.
ZayZoon has also focused on seamless integrations with existing payroll and HR infrastructure, earning recognition as an ADP and PrismHR Marketplace Partner of the Year in 2023.