PeerTransfer Picks Up $1.1M from Spark, Other Prominent Investors

10/28/10Follow @gthuang

Boston-area-based peerTransfer, a financial services software startup, said today it has raised its first financing round from an impressive list of venture capitalists and angel investors. The news was reported by the New York Times and other media outlets.

This financing is news because of the core idea and who the investors are, more than the dollar amount per se. The Web startup closed $1.1 million from Spark Capital, John Landry, Dave McClure, Jim Hornthal, Ken Morse, Roy Rodenstein, Project 11 Ventures (run by Reed Sturtevant and Katie Rae), and Spanish investors Marek Fodor, Pablo Carrallo, and Raul Aznar.

PeerTransfer specializes in online international money transfers and global payments. Its software matches up the transactions going between any two countries—money flowing from the U.S. to the U.K. and vice versa, for example—so as to figure out the net flow between customers, and to keep the money effectively moving only within each country. The idea is that customers save money on international transfer fees and exchange rates. The startup was incorporated in July 2009.

Back in June, founder and CEO Iker Marcaide, a native of Spain, spoke with me after peerTransfer won the 20,000-Euro prize in the HIT Global Entrepreneurship Competition in Barcelona.

Gregory T. Huang is Xconomy's Deputy Editor, National IT Editor, and the Editor of Xconomy Boston. You can e-mail him at gthuang@xconomy.com or call him at 617-252-7323. Follow @gthuang

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