Zip Co

The company was founded by Larry Diamond and Peter Gray in 2013 as Zip Money, and offered a digital credit option to customers.{{cite web|url=https://www.dynamicbusiness.com.au/entrepreneur-profile/chaotic-rewarding-hyper-growth-zipmoneys-larry-diamond-on-the-fintech-startups-success.html|title=Chaotic, rewarding hyper-growth: zipMoney's Larry Diamond on the fintech startup's success|date=29 September 2017}} The organisation soon launched a second product, Zip Pay, to cater for everyday purchases, including retail and health.

In 2015, Zip was listed on the Australian Securities Exchange as zipMoney Limited (ASX: ZML).{{cite web|url=https://www.smartcompany.com.au/finance/loan-star-zipmoney-raises-5-million-and-lists-on-asx/|title=Loan star: ZipMoney raises $5 million and lists on ASX - SmartCompany|date=21 September 2015}}{{Cite web|url=https://www.sbs.com.au/news/article/zipmoney-raises-20-6m/z6f8b1th4|title=zipMoney raises $20.6m|website=SBS News}}{{cite web|url=https://www.dynamicbusiness.com.au/featured/westpac-invests-40-million-in-startup-zipmoney.html|title=Westpac invests $40 million in startup zipMoney|date=7 August 2017}}

In 2016, Zip acquired Pocketbook, one of the most popular finance apps in Australia.{{cite web|url=https://www.businessinsider.com/how-a-spreadsheet-born-in-a-sydney-living-room-became-a-fintech-with-300000-users-2017-5|title=How a spreadsheet born in a Sydney living room became a fintech with 300,000 users|first=Tony|last=Yoo|date=23 May 2017}}

In 2017, Zip secured a $260 million debt facility with $200 million in funding from National Australia Bank, and a $40 million equity investment from Westpac Bank. Zip was also ranked #7 on Deloitte’s Technology Fast 500 APAC.{{cite web|url=https://www2.deloitte.com/au/en/pages/technology-media-and-telecommunications/articles/technology-fast-500-apac.html|title=Technology Fast 500™ APAC Winners - Deloitte - Technology, Media & Telecommunication|website=Deloitte Australia}} In December 2017, the company changed its name from ‘ZipMoney Limited’ to ‘Zip Co Limited’, now known simply as Zip. In January 2018, the ASX ticker code was changed from ‘ZML’ to ‘ZIP’.{{cite web|url=https://www.asx.com.au/asxpdf/20180115/pdf/43qtcjqcp7d2bq.pdf|title=ASX Release|date=2018-01-15|access-date=2023-08-10}}

In August 2018, the Zip app was launched in the Google Play Store and then the Apple App Store later that year.

In August 2019, Zip Co acquired 100% of the shares in PartPay Limited, a Buy Now, Pay Later company from New Zealand with early operations in the UK.{{Cite web|url=https://hotcopper.com.au/threads/ann-zip-debuts-on-the-global-stage-acquiring-partpay.4913155/|title=ZIP (ASX) Ann: Zip debuts on the global stage, acquiring PartPay|website=HotCopper|language=en|access-date=2019-09-11}} The acquisition accelerated Zip’s global expansion.

In September 2019, Zip Co acquired SpotCap ANZ to enter the unsecured business lending market.{{Cite web|url=https://hotcopper.com.au/threads/ann-zip-acquires-spotcap-aus-nz-fast-tracking-zip-biz-bnpl.4950137/|title=ZIP (ASX) Ann: Zip acquires Spotcap Aus/NZ, fast tracking Zip Biz BNPL|website=HotCopper|language=en|access-date=2019-09-11}}

In December 2019, Zip Co announced that it has received firm commitments to raise $60 million before costs via a placement of 16,216,216 ordinary shares to fund its global expansion.{{Cite web|url=https://au.finance.yahoo.com/news/zip-co-share-price-lower-234320675.html|title=Zip Co share price lower after successful $60 million placement|website=au.finance.yahoo.com|language=en-AU|access-date=2019-12-17}}

In June 2020, Zip Co bought the remaining shares in New York-based "buy now, pay later" company Quadpay Inc for $430 million as part of its efforts to expand globally.{{Cite web|last=Jain|first=Riddhi|date=2020-06-04|title=Zip Co to acquire US-based buy-now-pay-later company QuadPay|url=https://itmunch.com/zip-co-acquires-quadpay-403-million/|access-date=2020-12-14|website=iTMunch|language=en-AU}} 14% interest in Quadpay was already owned by Zip which it bought as part of its deal with New Zealand-based PartPay for $84 million in August 2019.{{Cite web|date=20 August 2019|title=ASX Release|url=https://cdn-api.markitdigital.com/apiman-gateway/ASX/asx-research/1.0/file/2924-02135464-6A941514?access_token=83ff96335c2d45a094df02a206a39ff4|website=ASX}}

As of March 2021, Zip operates in the United States, the United Kingdom, Australia and New Zealand. They are also minority shareholders in Payflex in South Africa and Twisto in the Czech Republic.{{Cite web|title=Zip Equity Raising: Growth Capital|url=https://cdn-api.markitdigital.com/apiman-gateway/ASX/asx-research/1.0/file/2924-02323298-2A1270702?access_token=83ff96335c2d45a094df02a206a39ff4|website=ASX}}

In October 2021, Zip Co acquired Middle Eastern buy now pay later platform Spotii.{{Cite web|title=Australia's Zip acquires Spotii|url=https://www.wamda.com/2021/05/australias-zip-acquires-spotii|website=wamda}}

In November 2021, Zip Co acquired European buy now pay later platform Twisto.{{Cite web|title=Zip Co (ASX:ZIP) completes Twisto buyout as part of European Expansion Strategy|url=https://themarketherald.com.au/completes-twisto-acq-as-part-of-european-expansion-strategy-2021-11-12/|website=marketherald|date=12 November 2021 }}

In April 2022, Zip changed their ASX ticker code from 'Z1P' to 'ZIP'{{Cite web|title=Change of ASX Ticker for Zip Co Limited |url=https://yourir.info/resources/dbc6d3e76afbc820/announcements/zip.asx/2A1369438/ZIP_Change_of_ASX_Ticker_for_Zip_Co_Limited.pdf }}

In July 2022, Zip Co ceased operations in Singapore.{{Cite web |last=Zip |first=ASX Announcement |date=2022-07-21 |title=Q4 FY22 Results Update |url=https://cdn-api.markitdigital.com/apiman-gateway/ASX/asx-research/1.0/file/2924-02544059-2A1386329?access_token=83ff96335c2d45a094df02a206a39ff4 }}

In October 2022, Zip Co began a wind down from the United Kingdom and ceased operations.

The Zip digital wallet has two types of interest free accounts, Zip Pay and Zip Money. These accounts can be used with retail partners online and instore anywhere Zip is accepted.

Zip Pay is a digital wallet that allows customers to purchase immediately and pay later, both in-store and online.

It provides an interest-free service until the end of each month leaving a $7.95 fee if the amount isn't paid by the due date. Accounts are available from $250 up to $1,500.{{cite web|url=https://www.afr.com/business/banking-and-finance/financial-services/zip-targeting-1b-of-sales-and-1m-customers-20180806-h13mvk|title=Zip targeting $1b of sales and 1m customers|date=7 August 2018}}

At the beginning of each month, customers are sent a summary (called a "statement") of what they have spent and what they have paid for the month. They are then given the opportunity to pay it off in full or pay it off for a minimum of $40 a month. Those with a $1500 account have to pay a minimum of $80 a month.

===Zip Money===

Zip Money is also a digital wallet allowing customers to purchase immediately and pay later, both in store and online. It provides 6 months interest free service, providing a reusable amount of up to $30,000.{{Cite web|url=https://www.businessinsider.com/zipmoney-lands-largest-debt-facility-in-australian-fintech-history-with-260-million-led-by-nab-2017-5|title=ZipMoney lands largest debt facility in Australian fintech history with $260 million led by NAB|website=Business Insider}}{{Cite web|url=https://www.computerworld.com.au/article/630660/how-zipmoney-has-scaled/|title=How ZipMoney has scaled}}

In 2023, the company introduced Zip Plus which offers credit limits from $2,000 to $4,000, with an interest rate of 12.95%p.a. accruing daily if the owing balance exceeds $1,500 at the end of each month and includes a monthly fee of $9.95.{{Cite web|url= https://help.zip.co/hc/en-us/articles/8262941199887-What-is-Zip-Plus |title= What is Zip Plus?}}

As Zip has evolved as a business it has periodically retired products from its offering.

===Pocketbook===

Zip was the owner and developer of freeware app Pocketbook, which was one of Australia’s largest non-bank financial apps.{{cite news |last=Lim |first=Jason |title=Aussie Personal Finance Startup Pocketbook Hits 100,000 Users |newspaper=Forbes |url=https://www.forbes.com/sites/jlim/2014/09/10/aussie-personal-finance-startup-pocketbook-hits-100000-users/#382299e25191}} Pocketbook was a freeware budget planner and personal finance app launched in 2012 and acquired by Zip in 2016.{{cite news |date=2 May 2016 |title=Keeping your hip pocket healthy |publisher=The Australian |url=http://www.theaustralian.com.au/business/technology/the-apps-to-balance-your-budget/news-story/3a14c7bdb36a61f18e5a6bdc785cb258 |access-date=5 January 2017}}{{cite news |last1=Lim |first1=Jason |title=Aussie Personal Finance Startup Pocketbook Hits 100,000 Users |work=Forbes |url=https://www.forbes.com/sites/jlim/2014/09/10/aussie-personal-finance-startup-Pocketbook-hits-100000-users/#431395542a04 |url-status=dead |access-date=5 January 2017 |archive-url=https://web.archive.org/web/20140912083456/http://www.forbes.com/sites/jlim/2014/09/10/aussie-personal-finance-startup-pocketbook-hits-100000-users/#431395542a04 |archive-date=12 September 2014}} Users could set up and manage budgets, track spending and manage bills with the app.{{cite news |last1=Courtenay |first1=Adam |date=1 June 2016 |title=Best apps to manage your money |publisher=The Sydney Morning Herald |url=http://www.smh.com.au/money/saving/apps-and-tools-to-manage-your-money-from-your-mobile-device-20160527-gp5is4.html |access-date=5 January 2017}} Pocketbook was the first personal finance app in Australia to offer users the ability to manage their money through linking their bank accounts.{{cite news |last1=Williams |first1=Hayley |title=Top Five Apps For Tax Time |publisher=Lifehacker |url=http://www.lifehacker.com.au/2016/06/top-five-apps-for-tax-time/ |access-date=5 January 2017}} In 2016, Pocketbook claimed to support over 250,000 Australians.{{cite news |title=Afterpay and zipMoney: New instalment of old idea gains momentum |publisher=The Australian |url=http://www.theaustralian.com.au/business/opinion/tim-boreham-criterion/afterpay-and-zipmoney-new-instalment-of-old-idea-gains-momentum/news-story/c03a011a511b976899bc0f27d0daba33 |access-date=7 February 2017}} In January 2018, that number was 435,000.{{Cite news |title=ZIP Quarterly Report |url=https://www.asx.com.au/asxpdf/20180129/pdf/43r338bkr4z86d.pdf}} Zip announced the closure of Pocketbook in July 2022 and the app closed the following month.{{cite web |last1=Keating |first1=Eloise |date=7 July 2022 |title=Zip-owned personal finance app Pocketbook to close |url=https://www.smartcompany.com.au/startupsmart/news/zip-pocketbook-closure/ |access-date=6 October 2022 |website=SmartCompany |publisher=Private Media}}

===Zip Business Trade and Trade Plus===

Zip Business Trade and Zip Business Trade Plus were accounts specifically aimed at small and medium businesses. They offered similar features to Zip Pay and Zip Money, with interest free periods and higher credit limits. As of 5 July 2022 these products were no longer offered to new customers, and as of 31 August 2022, existing accounts could no transact with these accounts.{{Cite web|url=https://help.zip.co/hc/en-us/articles/5069675569167-Zip-Business-Trade-and-Trade-Plus-is-being-discontinued-|title=Zip Business Trade and Trade Plus discontinued}} Customers were advised to switch to Zip Pay and Zip Money accounts instead.

===Zip Business Capital===

Zip Business Capital accounts offered unsecured lending to small and medium businesses up to $500,000. As of May 2023, these products were no longer offered to new customers. In January 2024, Prospa acquired Zip Business’s loan book.{{Cite web|url= https://fst.net.au/financial-services-news/prospa-acquires-zips-loan-book-for-15-6m/|title=Prospa acquires Zip’s loan portfolio for $15.6M}}

{{reflist}}

• {{official|https://zip.co/}}

{{S&P/ASX 200}}

Category:Companies listed on the Australian Securities Exchange

Category:Financial services companies based in Sydney

Category:Financial services companies established in 2013

Category:Australian brands

Category:Online financial services companies of Australia