MANILA, Philippinwa — Elevate, a financial technology (fintech) player based in London and Dubai, secured $5 million from a recent funding round to launch a financial solution for Filipino freelancers.
The startup provides a financial platform whereby digital nomads, whose clients are usually based abroad, can receive payments in US dollars. The solution supports deposits from international job portals like Upwork and Fiverr.
“We are thrilled to bring our innovative financial solutions to the Philippines, a market with a burgeoning freelance community,” said Elevate CEO Khalid Keenan in a statement.
Elevate has introduced the financial product with American financial institution Bangor Savings Bank, whose assets are valued over $7 billion. The accounts opened through the platform are insured by Federal Deposit Insurance Corp. (FDIC) for up to $250,000.
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“The introduction of FDIC-insured accounts through our sponsor bank, Bangor Savings Bank, is set to revolutionize the financial landscape for Filipino freelancers, offering them unprecedented security and convenience in managing their international earnings,” Keenan said.
Four million freelancers
This financial solution is seen to benefit about four million Filipino freelancers, based on data from the Department of Information and Communications Technology.
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The majority or about 59 percent identified themselves as a virtual assistant, a kind of freelancer who has multiple skills such as data entry, social media, website updates, and video editing.
About 43 percent claimed to have skills in social media marketing; data entry and transcription, 36.51 percent; and content creation, 34.48 percent.
According to a study by financial services company Payoneer, Filipinos are participating in the gig economy due to the flexibility of remote work and the earning potential of juggling multiple jobs.
Elevate has raised a total of $10 million in equity and debt since 2021 from several investors including Y Combinator, Goodwater, Global Founders Capital, and VSQ.
The startup, which only started operations early this year, currently has over 150,000 users across the world.