Zipmark is a technology company.
Zipmark has raised $2.0M across 1 funding round.
Zipmark has raised $2.0M in total across 1 funding round.
Zipmark is a fintech company founded in 2010 that builds a payments platform enabling businesses to send and receive 100% digital checks via web, mobile, and APIs, serving online marketplaces, lenders, and affiliate programs with high-volume disbursement needs.[1][2][4][6] It solves key problems like high fraud costs, administrative overhead, and technical development by offering a white-labeled, low-cost (1% surcharge) alternative to credit/debit cards, including QR code payments from invoices via its iPhone app.[1][2][4] With $6.1 million in funding and $4 million in 2024 revenue, the New York-based firm (now operating as OpenTransact) targets B2B payments, remittances, and check processing, though it maintains a minimal team of about 2 employees.[1][3]
Zipmark was co-founded in 2010 by Jay Bhattacharya and Jake Howerton in New York City.[1][4][6] Bhattacharya, a Citigroup veteran of 7 years focused on emerging payments like mobile, NFC, and smartcards, previously co-founded Mobile Money Ventures (acquired by Intuit).[4] Howerton, the CTO, was a tech entrepreneur and former CTO of Sunshine Suites, Inc., Inc. Magazine's 15th fastest-growing real estate company in 2009; he also contributed to the OpenTransact standard for secure transactions without exposing credentials.[4][6] The idea emerged to modernize checkbooks into a "21st-century digital checkbook," leveraging existing check processing infrastructure for direct bank account payments.[2][6] Early traction included a $2 million funding round in late 2011, a developer platform launch in 2012 covered by TechCrunch and GigaOm, and recognition as a top Silicon Alley tech company by IBTimes; the firm planned an iPhone app release at South by Southwest.[2][6]
Zipmark rides the early 2010s fintech wave toward digital disbursements and ACH modernization, addressing inefficiencies in check processing amid rising mobile payments and marketplace economies (e.g., lenders, affiliates).[1][2][6] Timing aligned with post-financial crisis demand for low-cost, secure alternatives to cards, especially for B2B and remittances, as NAICS 522320 firms sought scalable APIs.[1] Market forces like fraud proliferation and dev resource constraints favored its model, influencing ecosystems by enabling marketplaces to handle payouts natively and contributing to open payment standards like OpenTransact.[3][4] As a Founder Institute grad, it boosted New York/Silicon Alley's startup scene with developer tools.[2]
Zipmark's pivot to OpenTransact signals adaptation to open banking trends, positioning it for growth in API-first fintech amid rising demand for embedded payments.[3] Next steps likely involve expanding B2B disbursement APIs, leveraging AWS/Cloudflare stacks for scale, and targeting underserved niches like collectibles or subscriptions.[1][5] Trends like real-time payments and regulatory pushes for digital remittances will shape its path, potentially amplifying influence if it rebuilds team/momentum beyond its current lean state—echoing its origins as a checkbook disruptor now ripe for broader fintech integration.[1][3]
Zipmark has raised $2.0M in total across 1 funding round.
Zipmark's investors include Angelic Ventures, Idealab, Rapoport Investments, Scout Ventures, Social Capital, Social Starts, Teamworthy Ventures, Matthew Daimler, Tim Csontos.
Zipmark has raised $2.0M across 1 funding round. Most recently, it raised $2.0M Seed in December 2011.
| Date | Round | Lead Investors | Other Investors |
|---|---|---|---|
| Dec 1, 2011 | $2.0M Seed | Angelic Ventures, Idealab, Rapoport Investments, Scout Ventures, Social Capital, Social Starts, Teamworthy Ventures, Matthew Daimler, Tim Csontos |