PAYZER Investment Thesis

Contractors want to improve close rate, collect payments faster, eliminate redundant back-office data entry. The current tools on the market have poor user experience. Payzer is a payments and software company that provides mobile and online apps to Specialty Trade Contractors. Payzer is an all-in-one financial tool. Payzerware is the all-in-one management tool that manages inbound call, technician scheduling and dispatch, sales proposals, appointments and reminders, maintenance agreements, instant, paperless financing, etc. The SaaS license is $399-$999/month. 

Payzer has a unique business model in the payment sector. It provides operational support and payment solution for Special Trade Contractors. The company consistently beats its sales target and steadily expand its team and opening new business relationships. Payzer also draws attention from other investors including Metabank and AXA Venture Partners. Payzer has formed relationship with some of the largest manufacturers of Heating, Ventilation, AC and plumbing wholesalers.

Payzer has gone through multiple evolutions as a startup – it originally began by offering point-of-sale payments and then loan originations for white goods. The company identified an underserved market segment of contractors and consumers that needed to make high value purchases to replace household items such as HVACs and white goods. It struck partnerships with various banks (such as Square 1 and GreenSky) to originate loans without having to keep them on balance sheet. The value provided to contractors was evident and Payzer developed Payzerware as a CRM for managing workflow of its enterprise clients.

The value proposition of Payzer garnered attention from Ferguson Enterprises, the largest supplier of plumbing in the US. Ferguson lead Payzer’s most recent Series C round. The company was founded by Jo Giordano, who was formerly the Head of Payments at Exxon Mobil and the Head of Merchant Acquiring at Bank of America – he brings significant experience in the payments industry.