Employee financial wellness and earned wage access platform Tapcheck raised $20 million in a Series A round led by PeakSpan Capital. Big-name companies like McDonald's, Dunkin, and Planet Fitness offer Tapcheck to their hourly employees, to give them access to their earnings before payday. The startup says its service aims to improve the financial wellness of workers while boosting productivity for the businesses they work for. Kayling Gaver, co-founder and COO of Tapcheck, joins Cheddar News' Closing Bell to discuss.

Closing Bell

Earned Wage Access Platform Tapcheck Raises $20 Million to Give Hourly Workers Access to On-Demand Pay

Employee financial wellness and earned wage access platform at tap check, raising 20 million in a series a round led by peak span capital, a big name. Companies like McDonald's Duncan and planet fitness do offer tap check to their hourly employees to give them access to their earnings before payday. Startup says its service aims to improve the financial wellness of workers while boosting productivity for the businesses that they work for. So joining me now is Kailyn gave er as C. 00. And co founder of tap check, Kaylene, thanks so much for coming on the show, explain to me how this works. Yeah, thank you so much for Kirsten for having me on today topic is an employee financial wellness platform and we partner with businesses to be able to offer their employees ability to get paid on demand when you think about it, you can just about get anything on demand, You can get your groceries on demand and get your dinner to your door on demand. Here a tap check we felt, why shouldn't you be able to get your earned wages on demand? So we actually connect with the company's existing peril and time clock system. So shortly after an employee clocks out for their shift, they can actually download the tap check app, connect their bank account and be able to transfer funds into their accounts within a few seconds to be able to pay for any of those expenses that might come across before payday Killeen, Do you find that companies you work with some big ones on this service are accepting of this or are there some challenges as to paying employees on a more regular basis? A daily basis? In some cases versus on a bi weekly basis. Yeah. When you think about the two week pay cycle, I mean that's quite difficult, especially for the millions of americans that work paycheck to paycheck. And so when companies are really looking out there for innovative ways to support their employees, especially in these times, um it's really on demand. Pay has been one of those that could help fill those gaps without causing a lot of stress and effort On the employer side. Um topic does fund those advances for employees. So there's no changes to a company's cash flow. And because we actually integrate into their existing business systems, there's very little effort that employers have to do in order to support this program for their employees. What's the business model? How do you make money on this? Yeah. So it's very much like a A. T. M. Fee out of network a tm fee for employees. So there's no monthly fees or any kind of subscription fees for those employees, they really just pay for the access a couple of dollars just like you would an out of network A. T. M. Fi. Um And they only use that when when they need that. Are you finding Kalin that companies are doing this, they're willing to pay the extra fees just simply to retain talent in a super tight labor market. Yeah, you kind of hit the nail on the head right there. I mean when you think about this whole great resignation of employees tactic has in you know, on demand pay has been an excellent way to recruit quicker and retain longer um employees when you think about it and having a job ad where you can say come work today, get paid today. Um That's pretty critical in being able to uh b and stand out in your job ads in this kind of market. Um So definitely employers are looking for those ways in any ways they can do to support their employees. All right, Colleen gave her C. 00. And co founder of Tap Check, Kaylene. Thanks so much.