U.K. payroll startup Earnt It wants to help the “millions of people in the U.K. who often resort to overdrafts, credit cards and payday loans to cover unexpected costs when they arise,” and those who can’t even gain access to money they’ve already earned, according to a press release.
The company said it provides an “affordable and fair way for people to access the money they’ve earned in real time.” Earnt It users can see what they’ve earned daily on the app, and have access to that money right when they need it. There’s only a one-off platform fee, and no interest or penalties, which the company said is a way for people to avoid getting caught in a difficult payday loan cycle.
Earnt It is in the testing phase, and has been adding about 20 new users a day — there are about 1,000 people on a waiting list. The company plans to launch for the public in February.
The startup was founded by Hasam Silva, who used to work at PayPal and helped to develop PayPal Credit. Silva left PayPal in October to go back to London and work on Earnt It. He also used to serve in the British Army, where he did a tour in Afghanistan.
Silva said his vision for Earnt It is to “build a suite of alternative fair and affordable financial products that complements someone’s existing bank account.”
Payroll is a popular industry for startups in the U.K., and has attracted much attention. There has been a spike in new service providers, which has added an opportunity in the industry for consolidation.
For example, U.K.-based The Access Group recently pushed market consolidation with two different takeovers, announced in November. Those included human resources (HR) solutions company People HR and payroll technology firm the Payroll Service Company. In a statement, The Access Group CEO Chris Bayne mentioned that the deals would strengthen the company’s ability to promote efficiency in payroll departments, especially for small and medium-sized business customers.