Startups > GoCardless

GoCardless

GoCardless helps businesses collect recurring payments via direct debit.

Series G $540M total Founded 2011 London, England

GoCardless is a global bank-payment platform enabling businesses to collect payments directly from customers' bank accounts through direct debit schemes (ACH, Bacs, SEPA, BECS, PAD, Autogiro) across 30+ countries. The platform handles recurring payments, single transactions, and invoicing with real-time tracking, reporting, and AI-powered retry optimization. It serves 100,000+ businesses processing $130 billion annually, with significantly lower fees than card-based processors and a focus on subscription and B2B payment collection.

Problem solved

Businesses lose revenue to high card processing fees and manual payment collection, while failed recurring payments reduce customer lifetime value without intelligent retry mechanisms.

Target customer

Subscription-based businesses, membership organizations, B2B invoicing platforms, and recurring payment processors in regulated markets across North America, Europe, Australia, and Nordic regions.

Website LinkedIn Crunchbase

Founders

Hiroki Takeuchi

CEO

Former McKinsey Business Analyst, studied Mathematics at Oxford University and served as Vice President of Oxford Entrepreneurs; founded GoCardless in 2011.

Tom Blomfield

Co-Founder

Co-founded GoCardless in 2011; later founded UK neobank Monzo.

Matt Robinson

Co-Founder

Co-founded GoCardless in 2011; later founded real estate platform Nested and is now a partner at VC firm Accel.

Funding history

Seed $1.5M February 2012 Led by Unknown · Unknown

Series B $7M 2014 Led by Balderton Capital · Unknown

Series D $22.5M 2017 Led by Unknown · Unknown

Series F $95M 2020 Led by Unknown · Unknown

Series G $312M February 2022 Led by Permira · BlackRock Private Equity Partners, Accel, Bain Capital Ventures, Google Ventures, Salesforce Ventures

Total raised: $540M

Industries

Financial Services FinTech Payments

Pricing

Three-tier model: Standard (pay-as-you-go, 1% capped at £2 for UK Bacs, 1% capped at €2 for SEPA; US: 0.05% + $0.05 capped at $5), Plus (for growing businesses), Enterprise (custom pricing). No setup fee or monthly minimum on Standard. Success+ AI retry feature adds 0.5–1% per recovered payment. Volume-based pricing available for annual commitments.

Notable customers

DocuSign, Klarna, TripAdvisor, Epson, Capital on Tap, Yonder, JustGiving, and 100,000+ businesses globally

Website

gocardless.com/

Competitors

Stripe

Stripe offers a broader payment ecosystem including credit/debit cards and digital wallets (34.64% market share) but charges 2.9% + $0.30 vs GoCardless's 0.5% + $0.05 for bank payments.

PayPal

PayPal provides multi-channel payment acceptance (30.67% market share) but lacks specialization in direct debit recurring payments and charges higher fees.

Braintree

Braintree focuses on card payments at 2.59% + $0.49 without the lower-cost direct debit infrastructure or AI-powered retry optimization that GoCardless offers.

Why this matters: GoCardless is a rare fintech unicorn ($540M raised, €1.05B exit to Mollie in 2025) that proved a narrow but valuable thesis: direct debit is dramatically cheaper and more reliable than cards for recurring payments. Its 2025 acquisition by Mollie creates a combined €3B European payments powerhouse, validating the category shift toward lower-cost bank payments and away from legacy card networks.

Best for: Subscription businesses, membership organizations, and B2B invoicing platforms that prioritize low transaction costs and reliable recurring payment collection over multi-payment-method flexibility.

Use cases

Subscription Management

SaaS and membership platforms use GoCardless to automatically collect monthly or annual subscriptions directly from customer bank accounts. With Success+ retry optimization recovering ~70% of failed payments, they minimize churn and improve cash flow predictability without manual intervention.

B2B Invoicing and Billing

B2B service providers use GoCardless for invoice payment collection, avoiding card fees that eat into thin margins. Direct debit provides certainty of payment timing while the platform's real-time tracking integrates payment status into accounting workflows.

Installment Payments

Financial platforms and lending services use GoCardless to collect installment payments on loans or payment plans. The platform supports adjustable amounts and dates, accommodating customer circumstances while automating collection across 30+ countries.

Alternatives

Stripe Choose Stripe if you need multi-channel payment acceptance including cards, wallets, and multiple payment methods globally; GoCardless is better if you prioritize lowest cost for recurring bank payments.

PayPal PayPal offers broader consumer payment recognition and multi-method support but lacks GoCardless's focus on B2B recurring payments and its lower direct debit fees.

Square Square excels in point-of-sale and omnichannel commerce but doesn't specialize in global direct debit or high-volume recurring B2B payments like GoCardless.

FAQ

What does GoCardless do? +

GoCardless is a bank-payment platform that enables businesses to collect recurring and one-time payments directly from customers' bank accounts using direct debit schemes (ACH, Bacs, SEPA, BECS, etc.) across 30+ countries. It provides payment processing, real-time tracking, reporting, and AI-powered retry optimization to maximize payment success rates.

How much does GoCardless cost? +

Standard pricing starts at 0.05% + $0.05 per transaction (capped at $5) in the US, or 1% capped at £2 for UK Bacs and €2 for SEPA. Enterprise customers negotiate custom pricing. Plus and Enterprise plans are available for growing businesses. Success+ retry feature adds 0.5–1% per recovered payment.

What are alternatives to GoCardless? +

Stripe (broader multi-channel payments), PayPal (established payment platform with lower specialization in direct debit), Square (point-of-sale and omnichannel focus), and Braintree (card-focused payments). GoCardless stands out for lowest cost on direct debit and best-in-class B2B recurring payments.

Who uses GoCardless? +

GoCardless serves 100,000+ businesses including DocuSign, Klarna, TripAdvisor, Epson, JustGiving, and Capital on Tap. Primary customers are subscription platforms, membership organizations, B2B invoicing services, and financial services companies that need recurring or bulk payment collection.

How does GoCardless compare to Stripe? +

GoCardless charges 0.5–1% vs Stripe's 2.9% + $0.30, making it significantly cheaper for bank-based recurring payments. However, Stripe supports cards, wallets, and digital payments globally, while GoCardless only handles direct debit—making Stripe better for multi-method acceptance and GoCardless better for cost-optimized recurring payments.

Does GoCardless support credit card payments? +

No. GoCardless specializes exclusively in bank-to-bank payments via direct debit schemes. It does not support credit cards, debit cards, or digital wallets like Apple Pay or Google Pay. This is by design to minimize fees and serve recurring payment use cases.

What countries does GoCardless operate in? +

GoCardless operates in 30+ countries via local direct debit schemes: ACH (US/Canada), Bacs (UK), SEPA (Europe), BECS (Australia), PAD (Canada), and Autogiro (Sweden), among others.