Derby start-up raises £200k to launch games payment platform
A Derby company which has developed a new payment system for the games industry has secured a further £200,000 investment from the MEIF Proof of Concept & Early Stage Fund, managed by Mercia and part of the Midlands Engine Investment Fund (MEIF).
Transaction Technologies’ new platform will target the multi-billion-dollar market for in-game downloads. PlayerLands, as it is known, allows players to buy virtual goods within games and is one of the few systems that will accept payments in real money rather than cryptocurrencies.
The platform provides a secure payment system that makes it easy to buy and sell virtual products online and for developers to set up their own stores, market their goods and manage their businesses.
The latest funding round will allow the firm to finalise and launch its platform, while creating four new jobs in Derby for developers and customer service staff.
Transaction Technologies was set up by serial entrepreneurs Alex Booth and Nick Gillett. Booth has worked as a consultant in the gaming industry while Gillett is a games industry journalist and former Guardian columnist who has successfully exited previous start-ups. Having secured an initial £200,000 investment from MEIF to build the platform, the entrepreneurs have now successfully integrated it with the leading payment systems and are in discussions with a number of games developers.
Gillett said: “The games business, and especially the highly social world of server-based games, have been growing rapidly for years. We make it easy for developers and server owners to monetise their services, leaving them to concentrate on making the best entertainment.”
Sandy Reid, investment director at Mercia, added: “Online gaming is an exciting sector that has grown significantly during the global lockdown. Transaction Technologies is filling a gap in the market for a secure and professional payment system. We are pleased to further support the business with this latest investment which will allow it to launch PlayerLands and to capitalise on the favourable market conditions.”
Lewis Stringer, senior manager at the British Business Bank, said: “The MEIF Proof of Concept & Early Stage Fund was set up to support start-ups across the region looking to get a business idea off the ground initially and then, grow with further investment. Transaction Technologies is a good example of this, with the MEIF initially providing funding to help the firm develop its platform and now supporting a second round of funding enabling it to launch to market.”
Tom Gray, Partner at Knights, provided legal advice to the fund.