Contxto – Brazilian tech fund Confrapar announced last week an investment in Belo Horizonte-based fintech Zetra for R$200 million (almost US$5 million). Zetra will use these funds to expand in its native Brazil and abroad through its international spin-off, SalaryFits. Specifically into Colombia, Spain, and the United States.
Users can currently find SalaryFits in India, Italy, the UK, Portugal. Meanwhile, in Mexico it offers its services via eNomina.
Zetra/SalaryFits, fintechs for financial wellness
Founded in 2000 by Renato Araujo, Zetra develops digital tools to further financial education and wellness. Among its repertoire of offerings there is a platform for payroll management and a service for businesses to oversee employee health programs. As of 2012, it also holds a credit recovery program so a company can keep track of the workers who’ve taken out a loan.
By combining these services into one system, an organization is better prepared to carry out risk assessments and determine the viability of lending money to its team members. Moreover, the solution deducts loan payments from the employee’s salary. This means less work for everyone involved.
One can practically hear the accounting department sighing with relief…
Among its more recent product-related developments SalaryFits also released its SalaryPay app into Brazil. What it does and how it works can be best explained via example, so let’s dive in shall we?
Let’s say there’s an employee. We’ll call him Alex.
Now Alex has a serious case of wanderlust and he compulsively bought a flight to Argentina. As a result, he’s short on cash.
However, now Alex really needs to buy some medicine at the local pharmacy. Thankfully, this pharmacy partnered with Vision Co., Alex’s employer.
So in order to pay for the medicine, Alex will pull out the SalaryPay app and scan the QR code provided by the merchant. The expense is transferred to Vision Co. which in turn, shall deduct the charge from Alex’s next paycheck. The transaction is quickly processed and bam! It’s over.
Alex gets his medicine, the pharmacy makes a sale, and Vision Co. assumes a low-risk credit line while keeping a valued team member happy.
That’s a triple win for everyone.
But what’s more important: Alex can continue to compulsively travel the world.