Y Combinator-backed Elevate enters Pakistan, aims to resolve freelancers’ payment woes

Elevate, a fintech venture backed by Y Combinator and which has raised over $6 million to date, has now officially gone live in Pakistan, according to a statement issued by the company on Monday.

The startup, which initially launched in Egypt, said it is designed to empower freelancers and remote workers to open US bank accounts through a strategic partnership with Bangor Savings Bank, a reputable US-based institution boasting over $7 billion in assets.

“A notable chunk of Pakistan’s workforce actively participates in freelance endeavors, totaling around 3 million individuals. This sector generates an impressive annual revenue exceeding $400 million, and these figures continue to ascend,” Growth Lead at Elevate Khalil Osman, who is based in Dubai, told Business Recorder.

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“The invaluable contributions of these freelancers play a pivotal role in fortifying the Pakistani workforce ecosystem.”

Freelancers and remote workers grapple with distinct challenges in receiving payments in Pakistan.

Currently, IT sector officials and experts see international payment issues as the biggest hurdle to increase IT- and IT-enabled services export.

CEO Khalid Keenan said Elevate’s entry into the Pakistani market signifies a new era for freelancers and remote workers, offering a level of financial freedom and flexibility.

“Our commitment to transparent pricing and the best FX rates set us apart from the competition, making Elevate the go-to platform for global payments, so now you can receive dollars from anywhere in the world without any hassle,” he added.

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Founded by members hailing from nations such as Yemen and Algeria and intimately familiar with the challenges faced by Pakistani freelancers, the company says it feels upbeat of performing well in the country.

“Team members also bring extensive expertise in the fintech space, drawn from their professional experience at renowned companies such as Visa, Goldman Sachs, Citi, and PNC Bank,” said the company statement.

Since going live, Elevate has opened thousands of USD accounts, processing over $500,000 in monthly deposits, showing month-on-month deposit growth of 100%.

“All accounts are FDIC insured, guaranteeing the full protection of funds up to $250,000, providing users with comprehensive financial security,” the company said.

“For instance, unlike counterpart Payoneer, which may impose up to a 1% fee on inbound funds, if $2,000 is sent to a user’s Elevate account, they will receive the entirety of that $2,000. Virtual USD Mastercard debit cards are also issued, enabling users to make online purchases globally.”