MassMutual backs Paerpay

Paerpay , a contactless payment solution for restaurants, has closed a $3 million seed funding round led by MassMutual through the MM Catalyst Fund (MMCF). They were also joined by Elevate Capital, MassVentures, Techstars, The Fund, Gaingels, and Chingona Ventures. This funding round brings the company’s total funding to just over $4.2 million.

Founded by Derek Canton, Paerpay was originally created as an in-person dining payment app to help diners pay for their meals more quickly and easily, particularly when splitting the tab amongst a group. As a result of the pandemic, Canton quickly pivoted the business to focus on contactless payments in 2020, which became critical as the continued digitalization of the restaurant industry accelerated.

Today, Paerpay offers restaurants a contactless payment option that does not require changing their hardware or credit card processor. Restaurant customers don’t need to download an app. Leveraging its QR Code and text message-driven payment system, restaurants can promote social distancing while increasing payment security and improving efficiency. Paerpay helps operators adapt to the rapidly changing landscape of payment, including cryptocurrency, digital wallets, and other modern payment methods.

Paerpay is currently doing a pilot project with a large, 500+ location fast-food chain to shorten their drive-through wait times while improving the overall guest experience. Using Paerpay, guests order at the speaker and then scan a QR code to see their order details and pay on their phone. No need to swipe or tap a card at the first window. Guests can simply collect their food and be on their way.

Paerpay is also working with partners like Acrelec, a global technology company providing kiosks for top restaurant and retail brands such as McDonald’s, Yum! Brands, Starbucks, and Wal-Mart.