South African fintech company Float has expanded into the United Kingdom, marking its first international market as it looks to grow its card-linked instalment platform beyond South Africa.
Float founder Alex Forsyth-Thompson | image supplied
The expansion has been supported by the UK Government's Global Entrepreneur Programme, which helps high-growth international businesses establish operations in the UK.
Founded in South Africa in 2021, Float allows shoppers to split purchases into up to 24 interest- and fee-free monthly instalments using the available credit on their existing Visa or Mastercard credit cards. The platform does not issue new credit and does not require customers to complete an additional application or download an app.
According to the company, the platform helps merchants increase average order values by around 134%, while improving conversion rates and attracting higher-spending customers.
Float founder and chief executive Alex Forsyth-Thompson said South Africa's estimated 5.5 million credit cardholders have more than R125bn in unused available credit, despite carrying around R200bn in outstanding balances.
He said many consumers reduce spending or abandon purchases because of the standard credit card repayment window rather than a lack of available credit.
"The issue in the UK is on a far bigger scale, so it presents an enormous opportunity for us to expand and add the same value in a new market," he said.
Forsyth-Thompson added that merchant adoption in the UK has outpaced the company's launch in South Africa and that Float has already been shortlisted for industry awards, including the PAY360 Awards and the Ecommerce Awards.
Since launching locally, Float has expanded to more than 2,200 stores, including Samsung, iStore, The North Face, Cycle Lab and Tiger Wheel & Tyre, serving retailers across sectors including consumer electronics, automotive, furniture, fashion and healthcare.
