Lakala

Founded in 2005 by serial entrepreneur Sun Taoran, Lakala Payment Co., Ltd. operates as a third-party payment service provider in China, positioning itself as a digital business solutions provider for merchants. Sun, a Peking University alumnus with a background in economics, has founded several other successful companies, including BlueFocus Communication Group and Koala Fund, and is a recognized expert in marketing and financial services. His journey with Lakala began with the idea of bridging online spending with offline bank card usage, securing initial seed funding from investors like Lei Jun, the future founder of Xiaomi.

The company's history is marked by significant milestones, including becoming one of the first institutions to receive a Payment Business License from the People's Bank of China in 2011. After a couple of unsuccessful attempts, Lakala successfully went public on the Shenzhen Stock Exchange on April 25, 2019, making it the first third-party payments company to be listed on a major Chinese stock market. This initial public offering was a crucial moment, allowing the firm to bolster its infrastructure and expand its customer reach.

Lakala's business model is centered on two main categories: digital payment and technology services. It generates revenue primarily through transaction fees, charging merchants a percentage of the transaction value for payments processed through its platform. Additional income is derived from value-added services like data analytics, financial consulting, and technology solutions such as software development for payment systems. The company serves a diverse client base, ranging from individual merchants and small to medium-sized enterprises (SMEs) to larger corporations and financial institutions. Its solutions cater to a wide array of industries, including retail, catering, logistics, property, and cross-border e-commerce.

The company's product suite is comprehensive, offering both hardware and software solutions. Lakala provides hardware-based POS terminals that facilitate credit and debit card payments, alongside mobile and online payment solutions. Its offerings include QR code payments, a cloud acquiring system, an aggregator payment platform, and support for digital RMB transactions. A key product is the SoftPOS solution, which transforms Android NFC devices into secure payment terminals without needing extra hardware. For its international clients, Lakala International, a wholly-owned subsidiary, provides cross-border payment settlement solutions, supporting transactions in numerous currencies and partnering with major international card organizations like Visa and MasterCard.

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