Flatpay Hits €1.5B Valuation After Raising €145M

Danish payments startup Flatpay becomes a unicorn as it scales its flat-rate payment model for Europe’s small businesses.

Emmanuella Madu
3 Min Read

Flatpay, a payments startup helping small and medium-sized businesses (SMBs) accept card transactions at a simple flat rate, has officially joined Europe’s fintech unicorn club. Now valued at €1.5 billion ($1.75 billion), the Danish company achieved unicorn status in just three years, a milestone that echoes the success of giants like Adyen, even as it aims to carve out its own share of the massive payments market.

Flatpay’s model is built around simplicity: one flat transaction fee, easy-to-use card terminals, and a hands-on onboarding approach tailored for small merchants, a segment that represents 99% of all European businesses. The formula is working. The startup has grown from 7,000 customers in April 2024 to around 60,000 today.

The company’s financials are scaling just as quickly. CEO Sander Janca-Jensen told TechCrunch that Flatpay crossed €100 million in annual recurring revenue (ARR) in October, with revenue increasing by nearly €1 million per day. The goal for 2026: grow ARR by 300% to reach between €400–500 million.

Related: AI Coding Startup Cursor AI Hits $29.3 Billion Valuation With $2.3 Billion Raise 

To fuel this aggressive expansion, and because the startup is not yet profitable,  Flatpay has raised €145 million ($169 million) in a new round led by AVP Growth and Smash Capital, with participation from existing backer Dawn Capital. This follows the company’s earlier €47 million Series B round, which included German football star Mario Götze.

The new capital will support deeper expansion across Flatpay’s current markets: Denmark, Finland, France, Germany, Italy, and the U.K. The company also plans to enter one or two new countries in 2026, with job listings hinting that the Netherlands may be next.

Flatpay currently employs 1,500 staffers, known internally as “flatpayers,” and plans to double the team by the end of next year. The company views workforce expansion as equally important as revenue growth, largely because it onboards customers in person, using pen, paper, and a literal suitcase of demo hardware.

This physical, human-first approach sets Flatpay apart in a crowded market dominated by digital players like PayPal, Stripe, and SumUp, as well as hospitality-focused upstarts. The startup believes SMBs crave clarity and simplicity over complexity, and being “ready to go” immediately is key to winning them over.

While human interaction remains at the core of Flatpay’s strategy, the company is experimenting with AI-powered features, including real-time tools and voice AI agents. It is also planning a broader fintech expansion with banking products such as cards and business accounts.

Janca-Jensen says the goal is to help SMB owners adopt financial technology in manageable steps,  or, as he puts it, “eat the elephant one bite at a time.”

Share This Article