Italian fintech Qomodo has raised €34.5m in a seed funding round led by Fasanara Capital. Qomodo is introducing a suite of smart payment solutions to physical retailers, including a Buy Now Pay Later formula for essential yet often unexpected expenses, increasing both customer peace of mind and business turnover.

Founded by Gianluca Cocco and Gaetano De Maio, two entrepreneurs with successful exits in Europe between 2018 and 2022, who have previously played a role in boosting the turnover of physical stores through the distribution of new digital products in Italy.

Qomodo is positioned as a "simplifier" that enables retailers to expand their businesses by ensuring immediate, secure, and transparent collections, while also increasing the spending opportunities for their loyal customers through interest-free installments. 

Physical stores are left out in the cold when it comes to competing online stores, partly due to their limited offering of flexible payment options. Qomodo aims to level the playing field by providing the necessary tools, like its Buy Now Pay Later solution, to physical retailers. Furthermore, bricks-and-mortar stores currently face challenges such as managing customer payments, which causes stress, and hinders their ability to focus on core operations. Qomodo streamlines this process, allowing retailers to concentrate on their businesses.

Qomodo is on a mission to solve this problem. It positions itself in the digital payments market as an "all-in-one" payment methods aggregator, allowing physical commercial operators to safeguard and expand their cash flow and offer Buy Now Pay Later payments to customers, in addition to one-time payments. Qomodo focuses on merchants providing services for essential yet often unforeseen expenses, which typically involve a higher transaction value.

The industry has responded with enthusiasm, as over 500 merchants adopted Qomodo during its stealth mode operation. Additionally, several agreements are in progress, set to onboard thousands of physical retailers in the coming months through API-based integration. Notably, these figures encompass both independent businesses and major retail chains.

Gianluca Cocco, CEO and co-founder of Qomodo, commented: “We've developed an "all-in-one" product that offers merchants all the payment solutions they need today: from SmartPOS for card acceptance to Buy Now Pay Later, Pay-by-Link, and Tap-to-Phone. This way, we're introducing innovation to many sectors that often suffer from technological delays and endure slow and bureaucratic processes. Qomodo aims to bring the advantages of online payments to physical stores, focusing on essential expenses that significantly impact people's lives. Motivated by strong early market signals, investor trust, and international partner interest, we've assembled a team with fintech experience to capture the opportunity for growing our customer base by hundreds, even thousands, of new merchants each month".

Gaetano De Maio, COO and co-founder of Qomodo, added: “Through a simple, transparent, and secure platform, Qomodo empowers stores to free themselves from the stress associated with managing customer payments—a particularly delicate aspect today—enabling them to fully concentrate on their businesses. Qomodo is a suite of tools to grow their businesses, foster customer loyalty, and acquire new customers. Simultaneously, thanks to the Buy Now Pay Later option without interest and costs, consumers can fulfill their needs by accessing services that were previously inaccessible, especially in the world of physical stores. 

In essence, we're facilitating an easy and immediate transition to the digital realm, a landscape full of opportunities for many operators who have not yet embraced innovation in this direction."

Francesco Filia, CEO of Fasanara Capital, remarked: "Buy Now Pay Later has revolutionized online shopping in recent years. Qomodo is placing this technology at the service of physical retail in previously underserved sectors, offering additional payment solutions that enhance the experiences of both stores and consumers. We have great confidence in the team put together by Gianluca and Gaetano in a nascent market offering substantial growth potential."

Antonio Assereto, CEO of Proximity Capital, stated: "The payments sector provides various opportunities, particularly in vertical markets that currently lack customized solutions for their needs, especially in the offline context. We believe that Gianluca and Gaetano, with the team they are assembling, possess the vision, experience, and skills necessary to develop a solution perfectly tailored to the sector's needs, generating significant impact and making a decisive contribution to digitization."

Davide Fioranelli, CEO of Lumen Ventures, added: "While many companies may underestimate the potential of distributing fintech products through offline channels, Qomodo stands out as an exceptional opportunity. Two key factors underpin this success: proprietary scoring technology and a unique position as a 'cash-in software.' This innovative approach is transforming the experience for both merchants and consumers in physical stores, particularly during 'the purchases that matter'. Qomodo's forward-thinking approach and the team’s proven track record make it a compelling investment opportunity in the fintech space."

This is one of the most substantial pre-seed funding rounds in Italy to date. An assembly of local and global venture capital firms joined the round as follows: Exor Ventures, Proximity Capital, Ithaca Investment, Lumen Ventures, The Techshop, Primo Ventures – along with the early-phase programs of Notion Capital, Octopus Ventures, and Plug&Play. Notable angel investors include Mark Ransford, Luca Ascani, Attilio Mazzilli, Simone Mancini (Scalapay), Benedetta Arese Lucini, Kai Hansen (Lieferando), Giorgio Tinacci (Casavo), Stiven Muccioli (BKN301), Freddy Kelly (Credit Kudos), Christer Holloman (Divido), Raffaele Terrone (Scalapay), Andrea Gennarini, Giuseppe Lacerenza, Pietro Invernizzi, Serge Chiaramonte, William Neale.