Xoom, money transfer site, raises $20M more

September 28, 2007 | Matt Marshall

xoom Xoom, a company that lets you go online to transfer money internationally, has raised $20.29 million in a fifth round of funding.

It’s just the latest in a wave of companies using the Web to shake up the payment-lending industry.

This six-year-old San Francisco company has now raised more than $50 million. To use it, you log on to Xoom’s Web site and pay between $3.50 and $12 per transaction, not exactly cheap — but considering the hassle and cost of other transfer methods, it’s competitive. Recipients don’t need to have bank accounts or Internet connections to receive fund.

It follows a $50 million round of capital raised by another PayPal competitor, Revolution Money (see our coverage), which is just about to launch. That company, however, is promising free transfers within social networking settings. So transfers are tending toward zero, like Internet phone rates. (Bytes are almost free.)

This Xoom latest round was led by DAG Ventures, and included Fidelity Ventures, New Enterprise Associates and Sequoia Capital. Peter Thiel, former executive of online payment company PayPal is also an early investor. The financing was first reported by PE Hub.

A whole bunch of other new companies are trying to make inroads into the micro-payment or lending markets.

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Tags: deal

About the Author, Matt Marshall

Matt launched VentureBeat in September of 2006, with the realization that no one else was covering the entrepreneurial and tech innovation scene with the velocity or depth that he was. Prior to founding VentureBeat, he covered venture capital for the San Jose Mercury News from 2001 to 2006. In 2002, Matt was awarded "Journalist of the Year" by the Northern California Society of Professional Journalists. Prior to working at the Merc, he was a correspondent for the Wall Street Journal in Bonn, Germany from 1995 to 1998, and a writer for the Washington Post in 1994. Matt holds a PhD in Government and an MA in German and European Studies from Georgetown University. In addition to VentureBeat, Matt is also the Executive Producer of DEMO, the leading launchpad event for emerging technologies.

http://venturebeat.com/2011/11/22/xoom-money-transfer-keith-rabois/ Xoom the money transfer company gets a little money of its own, $25M from Sequoia | VentureBeat

[...] seems this is the first round of funding since 2007. That year, the company received its fifth round of funding for $20 million from this round’s same investors including DAG ventures, Fidelity Ventures, [...]
http://kia.trete85.com/2011/11/22/xoom-la-societe-de-transfert-dargent-obtient-un-peu-dargent-de-ses-propres-25-m-de-sequoia/ Xoom, la société de transfert d'argent, obtient un peu d'argent de ses propres: 25 M $ de Sequoia | Kia

[...] que ce soit la première ronde de financement pour Xoom depuis 2007. Cette année, le financement la compagnie a reçu son cinquième tour pour 20 millions de dollars (qui a porté le financement total soulevé jusqu’à ce moment à [...]
http://eskobo.com/2011/11/22/xoom-the-money-transfer-company-gets-a-little-money-of-its-own-25m-from-sequoia/ Xoom the money transfer company gets a little money of its own, $25M from Sequoia | Tech News Aggregator

[...] seems this is the first round of funding since 2007. That year, the company received its fifth round of funding for $20 million from this round’s same investors including DAG ventures, Fidelity Ventures, and [...]