Sramana: When did Adyen officially get started?
Peter Caparso: In December of 2006.
Sramana: What was your role with Adyen, and who did you cofound it with?
Peter Caparso: I was one of the founders as well as an investor in the company. In total, there were nine people who had worked together at Bibit who all helped to get Adyen started.
Sramana: Where was the company headquartered?
Peter Caparso: The European headquarters are in Amsterdam and the U.S. headquarters are close to Boston.
Sramana: How was the business initially funded?
Peter Caparso: Everybody put in different amounts, and as a team it was a self-funded business. Among the nine cofounders and two outside investors we raised $20 million for the company. The two outside investors were based on a relationship one of our team members had.
Sramana: After the initial funding was resolved, what was the next step?
Peter Caparso: We began writing software. We came out with the e-commerce platform in September of 2007. Our first transaction was processed in that month. In January of 2010 we were able to achieve profitability.
Sramana: Who purchases a product from Adyen, and what do they do with it?
Peter Caparso: We are a payment provider, so we are a gateway. Our customers can be retail stores, video game companies, or anyone who is looking to make their offering online globally.
Sramana: When you launched the company, what countries did you facilitate payments in?
Peter Caparso: Initially we were addressing Western and Central Europe as well as the United States. Currently we offer 75 local payment methods which encompass North America, five countries in South America, Central Europe, and Western Europe, and we have near-term plans to offer services in parts of Asia.
Sramana: Which Asian countries will you include?
Peter Caparso: Japan and Australia will be some of the ones we go to first. Various countries have various requirements which we must meet. We are exploring China and India.
Sramana: India is highly regulated.
Peter Caparso: It is. We have some former experience with this because I have worked on similar projects in the past. Both China and India have their regulatory challenges.
Sramana: Who was your first customer?
Peter Caparso: We had a couple come in through friends and family. My partners were working in Europe, and I was working in the US. In parallel to the payment service we were developing partnerships with banks, similar to the Bibit model. Today we have partnerships with 20 banks. That lets us offer the cheapest rates as well as a portfolio of local payment methods. In the beginning, we were not only trying to gain customers, we were trying to get our banking partner portfolio created.