Pipe brings embedded capital platform to Australia with Live Payments

Pipe has commenced operations in Australia, offering its embedded capital platform to small businesses in partnership with local payment solutions provider Live Payments. The move brings Pipe's product to the Australian market for the first time, following its recent expansions into Canada and the UK. Live Payments, a payment services firm that supports over 10,000 small and medium-sized businesses, will be the first Australian partner for Pipe.

Market entry

The Australian small business lending sector remains dominated by traditional banks, despite increasing appetite for alternative finance solutions. Pipe's offering will allow Live Payments' customers to access pre-approved capital offers directly within the customer portal they already use for payment management. These offers are generated based on each business's revenue, cash flow, and performance history, assessed via Pipe's underwriting technology. There are no credit checks, personal guarantees, or long paperwork processes involved.

Pipe's local presence includes an established business entity and a number of Australian-based employees in global roles. The company expects demand to grow and plans to expand its on-the-ground team in the coming year. It also anticipates its Australian product may appeal to both domestic companies and existing customers with operations in Australia.

Customer integration

Pipe's partnership is aimed at delivering embedded financial solutions where clients already conduct their business. Live Payments, which has operated in the Australian market for almost two decades, is integrating access to working capital into its service offering for the first time. The partnership responds to substantial unmet need in the sector; industry data suggests there is a AUD $38 billion funding gap for small businesses in Australia, with over half of all capital applications ending in rejection.

Eligible Live Payments clients will be able to view and accept capital offers within their regular account dashboard. Personalisation of these offers is based entirely on the business's own data, managed within Live Payments' platform, with customers given upfront pricing and terms.

Growing demand

Pipe's expansion comes in a year where the firm has also announced major global partnerships, including with restaurant delivery platform Uber Eats to provide working capital to restaurants. The company reports high levels of demand from small businesses looking for new avenues to fund operations and growth, especially in markets where traditional lending criteria can be restrictive.

"Pipe is at an exciting stage, with an expansion playbook that lets us enter new markets quickly and a product designed to make a real difference for small businesses everywhere," said Luke Voiles, CEO, Pipe. "Live Payments has been a great first partner for us in Australia, helping us show what's possible when small businesses are given the capital and tools they need to thrive."

Partnership response

Live Payments sees extending capital access as a natural extension of its existing customer relationships. The company highlights that its trusted position with Australian SMEs places it well to facilitate adoption of new embedded finance products. Early uptake is reported to be positive among businesses seeking alternatives to conventional bank loans.

"We're excited to expand access to working capital for our customers through our partnership with Pipe," said Reuven Barukh, CEO of Live Payments. "Australian businesses have been quick to embrace new ways of accessing capital, and we've already seen strong demand for a solution like this. Our customers trust us with mission-critical parts of their business, and offering working capital is a natural next step in strengthening that relationship."