Flint Cellular Funds Go Offline, Tells Clients To Use Stripe To Proceed Service
The quantity of startups hoping to interrupt via into the world of funds seems to be shrinking a bit of bit extra. Flint Cellular, a startup backed by the likes of Verizon and True Ventures, has ceased cost operations, and this week it began directing its clients to make use of Stripe for funds providers.
The shutdown has been sluggish and complicated, it appears. We now have been making an attempt to succeed in out to Flint Cellular a number of occasions, via a number of channels, however haven’t had any responses. However, in response to a number of clients who’ve emailed TechCrunch, Flint first issued a observe earlier this month telling customers that it’s transitioning to a brand new platform and that it will disable card funds throughout that point:
Beginning at the moment, Flint is transitioning to a brand new platform. Throughout this era, you will be unable use Flint to course of credit score or debit card transactions. Nevertheless, you’ll have continued entry to your previous transaction knowledge and different Flint options.
We apologize for any inconvenience this causes and we’ll maintain you up to date about card processing availability in your account. When you have any questions, please contact our help workforce.
On the similar time, it suspended new signal ups.
No additional particulars have been provided within the wake of that first word till earlier this week, when customers started to notice that they acquired directions to make use of Stripe for funds as an alternative, with a timeline for Flint’s full shutdown. Flint can also be referring customers to Stripe help on its personal help web page.
Funds comparability website Service provider Maverick posted the textual content of that word:
Tuesday, February sixteen, 2016: We’ll ship directions on easy methods to join your account to Stripe. Will probably be instantly obtainable to be used as a alternative processing platform with the Flint app.6 PM PST Thursday, February 18, 2016: Cost acceptance on Flint’s present processing platform might be de-activated. Notice: you’ll obtain deposits for excellent settled transactions.6 PM PST Saturday February 27, 2016: Flint providers will go offline. If we’re capable of prolong operations past this date we’ll let you recognize as quickly as we will.
To be clear, this isn’t a part of any sort of asset transition to Stripe, only a suggestion to customers the place they might go within the wake of Flint’s closure for cost providers.
“We’re in an identical boat as you re: Flint Cellular,” a Stripe spokesperson informed TechCrunch when requested about what was happening with Flint. The corporate it appears solely turned conscious of the Flint directive after Flint’s ex-clients contacted Stripe with questions.
Flint was based in 2011, and in that point the corporate had raised simply over $20 million, with its final spherical led by Verizon in 2014, when it additionally expanded its cost service to the online alongside its level-of-sale answer.
As we have now identified earlier than, Flint stood aside from the likes of Sq. by providing software program-based mostly choices for funds initially utilizing pictures of playing cards moderately than dongles for taking card particulars on the level of sale.
It’s unclear what number of customers are affected by the closure. CEO Greg Goldfarb advised us in 2014 that Flint had service provider and enterprise clients within the “excessive tens of hundreds,” with common transactions within the vary of $one hundred twenty.
However with margins on cost providers too skinny for many corporations to make a return, it seems to be like Flint has been one of many corporations to have fallen by means of the cracks. Others which have referred to as it a day on the cellular POS aspect embrace Amazon Register, which additionally shut down this month. And Sq., one of many bigger of the funds companies, went public final yr however it is has been struggling to excite buyers.
Sarcastically, some startups’ loss are different startups’ achieve. Stripe has additionally been gaining clients from different funds companies which have shut down, resembling Balanced.
We’re persevering with to attempt to contact Flint and can replace this story as we discover out extra.