Mobile payment app MyCheck raises $4.2m

MyCheck, which has developed a mobile payment app for restaurants and other businesses worldwide, has closed a $4.2 million Series A round of financing. The company had previously raised $1.7 million in seed funding.

The funds were raised mainly from private investors including the Saban Capital Group, former GTC Poland chairman Eli Elroy, Colmobil vice chairman Yoav Harlap, while the company's existing investors, the Wertheimer Family, among others, participated. Supermodel Bar Refaeli is also an investor in the company.

This latest round of funding will enable MyCheck to cement and expand its foothold in the markets it already operates in and accelerate user adoption.

MyCheck was founded in Israel in March 2011 and in a very short period of time has reached many significant milestones including: acceptance at more than 3000 places worldwide; established operations in Tel Aviv, London and New York; integration into 15 POS systems worldwide; an average monthly transaction growth rate of 40%; merchant of record status; and a joint venture with Mastercard Israel (Isracard).

Angel investor Eitan Wertheimer who sold Iscar to Warren Buffett's Berkshire Hathaway said, "I know many large and small players have been trying to capitalize on the potential of mobile payments. The reason I believe in MyCheck is they understood that the fundamental ingredient for success in business is to provide value to consumers and merchants. In addition, management's track record in meeting its objectives to date gives us a lot of confidence for the future."

Beyond allowing users to pay from their phone, MyCheck provides a seamless and unique experience in full service restaurants, by sidestepping the need to wait for the check or the credit card slip. MyCheck users can also split the bill by selecting which items they want to pay for, redeem benefits, and automatically punch loyalty cards.

MyCheck US CEO and co-founder Tal Zvi Nathanel said, "MyCheck was always more about the experience and the lifestyle, not just the payment. While there are tons of apps that allow you to check in, MyCheck lets you check out with style. The app is tailor made for the life of a New Yorker. The fact that we have been able to attract a range of merchants from Michelin-rated restaurants, to college bars, salons and over the counter shops, and to secure a loyal user following - the average user in Israel uses MyCheck 7.5 times a month - validates our approach and the value we provide."

Published by Globes [online], Israel business news - www.globes-online.com - on October 15, 2013