Kalon Venture Partners has invested in a payment service provider, i-Pay, following its recent investments in SnapnSave and The SunExchange.

The investment in i-Pay will enable the company to continue its aggressive growth into multiple countries across the globe. 

i-Pay, facilitates bank-to-bank automated and instant electronic funds transfers (EFTs) in a matter of seconds. 

While EFT’s is not a new technology, our Investment Committee feels i-Pays’ technology is 10X better than any other solution in the market.

The i-Pay instant payment system was launched in November 2014 by three founders, namely, Thomas Pays, Mitchan Adams and Lyle Eckstein, who identified a need for an efficient and secure online payment system in the local market. 

Pays said: “As innovators, we have consistently been passionate about developing cutting edge products and services that will both disrupt and benefit the local populace. In this regard, we realised there had to be a more frictionless and safer way of facilitating online payments.”

The investment announcement comes at the same time as the firm’s next capital raising round, which will be open until February 28, 2018.

To assist with the economic growth of South African small to medium enterprises, the SA government, through Section 12J, has implemented a tax incentive for investors. 

The tax relief is capped at 45% for individuals and trusts and 28% for companies, which mitigates the investment risk and significantly enhances the potential return.