Flatpay, a company that enables card transactions for small and medium-sized businesses, has achieved unicorn status among European fintechs—meaning it’s now valued at over $1 billion. This milestone echoes some of the region’s most notable exits, including rivals such as Adyen, the Dutch payment giant that still leads the market by a wide margin. However, Flatpay’s recent investment round may help it close that distance.
Flatpay’s strategy is to compete with bigger firms by offering small business owners a fixed transaction fee for using its card readers and point-of-sale solutions. By targeting a group that makes up 99% of businesses in Europe, Flatpay has seen rapid growth: its customer base has soared to about 60,000, up from just 7,000 in April 2024.
The company’s valuation has risen just as quickly. Now worth €1.5 billion (about $1.75 billion), the Danish business reached unicorn status in only three years. While CEO and co-founder Sander Janca-Jensen is pleased with this achievement, he’s even more focused on another figure: annual recurring revenue (ARR).
“We surpassed €100 million in ARR last October,” Janca-Jensen shared with TechCrunch. He noted that this figure (roughly $116 million) is growing by nearly €1 million daily ($1.16 million). “Our goal for 2026 is to triple that, aiming to finish the year with between €400 million and €500 million in ARR.”
To fuel this ambitious expansion—since the company has yet to turn a profit—Flatpay secured €145 million (about $169 million) in its latest funding round. Investors included AVP Growth and Smash Capital, along with Dawn Capital, which previously led Flatpay’s €47 million Series B. German footballer Mario Götze also took part in that earlier round.
The fresh capital will be used to drive further growth in Flatpay’s current markets—Denmark, Finland, France, Germany, Italy, and the U.K.—and to enter one or two additional countries next year. Janca-Jensen did not specify which markets, but job listings hint that the Netherlands could be next.
Flatpay currently employs 1,500 people—referred to as “flatpayers”—and plans to double its workforce by the end of next year. The company treats increasing staff numbers as equally important as boosting revenue, stating in a press release that it aims to grow both tenfold by 2029. While this may seem unconventional, it aligns with Flatpay’s approach of onboarding customers face-to-face.
This approach is based on the belief that SMB owners are always searching for better solutions, even if their current providers are costly or inadequate. “That’s when we step in,” Janca-Jensen explained. He means it literally—Flatpay representatives visit in person, armed with pen and paper to clarify pricing and card terminals for immediate demonstrations. “Every salesperson carries that suitcase.”
Flatpay’s demo kit.
Image Credits:Flatpay
This direct, personal method could help Flatpay capture a larger share of a market also targeted by established providers, major fintech firms like PayPal, Stripe, and SumUp, as well as newcomers specializing in areas like hospitality. The real edge, however, may lie in Flatpay’s understanding of its customers: SMBs want straightforward solutions, and Flatpay ensures they’re “set up and ready.”
Although this approach results in higher customer acquisition costs—especially when combined with round-the-clock support—Janca-Jensen said that generating demand enables the company to expand much faster than it otherwise could. This rapid, triple-digit growth makes Flatpay’s people-first strategy more attractive to investors, even in an era dominated by AI-focused funding.
That said, Flatpay isn’t ignoring AI—it uses the technology for real-time features and is testing voice AI agents. The company also plans to broaden its fintech offerings with a banking suite that will include cards and accounts. For Janca-Jensen, the priority is to introduce these changes gradually, so SMB owners can “tackle things one step at a time” rather than feeling overwhelmed.
