May 23, 2022 · 26m · top-founders

He's Processing $100m+ in GMV Run Rate Connecting Lenders like Affirm with Consumer Brands like Lenovo

Medad Sharon · 13m spoken Nathan Latka · 9m spoken
0:00 / 0:00

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In this interview, host Nathan Latka speaks with ChargeAfter founder and CEO Medad Sharon about building a multi-lender Buy Now, Pay Later platform and scaling an infrastructure network backed by major tier-one banks. Sharon explains the mechanics of point-of-sale financing, the company's fee-based monetization model, and the broader shift toward contextual consumer credit.

How this conversation actually went

Every chapter scored 0–10 on four independent dynamics. Hover any point for the reasoning behind the score. Nathan holds 42.5% of the talking time here. How this is scored →

Nathan as informed peer 4.7 Guest teaching 4.4 Guest disagreement 3.4 Nathan pushing back 4.6
05100:0010:0020:000:57–5:25 · Nathan as informed peer 4/10 Introducing Medad Sharon and the Evolution of Retail Finance Sharon explains how BNPL aggregation works, noting that single lenders reject up to 70% of applicants, which educates Latka on ChargeAfter's multi-lender value proposition.5:27–8:14 · Nathan as informed peer 6/10 Marketplace Metrics and GMV Run Rate Discussion Latka presses Sharon on exact merchant numbers and GMV volume after Sharon mentions 'hundreds of millions', forcing him to clarify whether it is an annualized run rate or lifetime total.8:15–11:21 · Nathan as informed peer 5/10 Becoming the 'Visa of BNPL' and Monetization Mechanics When Sharon tries to keep monetization terms vague, Latka refuses to move on and forces him to clarify between a SaaS flat fee, pure GMV take rate, or blended model.11:21–14:12 · Nathan as informed peer 4/10 Early Capital and Seed Funding Journey Latka inquires about seed valuation caps in Israel in 2017, and Sharon gives general confirmation without diving into specific terms.14:14–18:32 · Nathan as informed peer 5/10 Scaling Through Series A, Series B, and Banking Partnerships Latka asks if strategic bank investors widen ChargeAfter's margin spread, prompting Sharon to explain that banks act directly as marketplace lenders rather than margin multipliers.18:33–22:44 · Nathan as informed peer 6/10 Probing Industry Margins and Sustainable Economics Sharon corrects Latka's margin estimate from 3-5% down to under 1.6% split across multiple players, and later forcefully objects to sharing private revenue metrics, leading Latka to challenge opaque VC-backed models.22:46–24:24 · Nathan as informed peer 3/10 Team Distribution and the Future of Point-of-Sale Credit Sharon outlines team distribution across Israel and the US along with the company's long-term vision of becoming the connectivity rails for point-of-sale credit.0:57–5:25 · Guest teaching 5/10 Introducing Medad Sharon and the Evolution of Retail Finance Sharon explains how BNPL aggregation works, noting that single lenders reject up to 70% of applicants, which educates Latka on ChargeAfter's multi-lender value proposition.5:27–8:14 · Guest teaching 2/10 Marketplace Metrics and GMV Run Rate Discussion Latka presses Sharon on exact merchant numbers and GMV volume after Sharon mentions 'hundreds of millions', forcing him to clarify whether it is an annualized run rate or lifetime total.8:15–11:21 · Guest teaching 4/10 Becoming the 'Visa of BNPL' and Monetization Mechanics When Sharon tries to keep monetization terms vague, Latka refuses to move on and forces him to clarify between a SaaS flat fee, pure GMV take rate, or blended model.11:21–14:12 · Guest teaching 2/10 Early Capital and Seed Funding Journey Latka inquires about seed valuation caps in Israel in 2017, and Sharon gives general confirmation without diving into specific terms.14:14–18:32 · Guest teaching 6/10 Scaling Through Series A, Series B, and Banking Partnerships Latka asks if strategic bank investors widen ChargeAfter's margin spread, prompting Sharon to explain that banks act directly as marketplace lenders rather than margin multipliers.18:33–22:44 · Guest teaching 8/10 Probing Industry Margins and Sustainable Economics Sharon corrects Latka's margin estimate from 3-5% down to under 1.6% split across multiple players, and later forcefully objects to sharing private revenue metrics, leading Latka to challenge opaque VC-backed models.22:46–24:24 · Guest teaching 4/10 Team Distribution and the Future of Point-of-Sale Credit Sharon outlines team distribution across Israel and the US along with the company's long-term vision of becoming the connectivity rails for point-of-sale credit.0:57–5:25 · Guest disagreement 1/10 Introducing Medad Sharon and the Evolution of Retail Finance Sharon explains how BNPL aggregation works, noting that single lenders reject up to 70% of applicants, which educates Latka on ChargeAfter's multi-lender value proposition.5:27–8:14 · Guest disagreement 5/10 Marketplace Metrics and GMV Run Rate Discussion Latka presses Sharon on exact merchant numbers and GMV volume after Sharon mentions 'hundreds of millions', forcing him to clarify whether it is an annualized run rate or lifetime total.8:15–11:21 · Guest disagreement 4/10 Becoming the 'Visa of BNPL' and Monetization Mechanics When Sharon tries to keep monetization terms vague, Latka refuses to move on and forces him to clarify between a SaaS flat fee, pure GMV take rate, or blended model.11:21–14:12 · Guest disagreement 2/10 Early Capital and Seed Funding Journey Latka inquires about seed valuation caps in Israel in 2017, and Sharon gives general confirmation without diving into specific terms.14:14–18:32 · Guest disagreement 3/10 Scaling Through Series A, Series B, and Banking Partnerships Latka asks if strategic bank investors widen ChargeAfter's margin spread, prompting Sharon to explain that banks act directly as marketplace lenders rather than margin multipliers.18:33–22:44 · Guest disagreement 8/10 Probing Industry Margins and Sustainable Economics Sharon corrects Latka's margin estimate from 3-5% down to under 1.6% split across multiple players, and later forcefully objects to sharing private revenue metrics, leading Latka to challenge opaque VC-backed models.22:46–24:24 · Guest disagreement 1/10 Team Distribution and the Future of Point-of-Sale Credit Sharon outlines team distribution across Israel and the US along with the company's long-term vision of becoming the connectivity rails for point-of-sale credit.0:57–5:25 · Nathan pushing back 2/10 Introducing Medad Sharon and the Evolution of Retail Finance Sharon explains how BNPL aggregation works, noting that single lenders reject up to 70% of applicants, which educates Latka on ChargeAfter's multi-lender value proposition.5:27–8:14 · Nathan pushing back 7/10 Marketplace Metrics and GMV Run Rate Discussion Latka presses Sharon on exact merchant numbers and GMV volume after Sharon mentions 'hundreds of millions', forcing him to clarify whether it is an annualized run rate or lifetime total.8:15–11:21 · Nathan pushing back 6/10 Becoming the 'Visa of BNPL' and Monetization Mechanics When Sharon tries to keep monetization terms vague, Latka refuses to move on and forces him to clarify between a SaaS flat fee, pure GMV take rate, or blended model.11:21–14:12 · Nathan pushing back 3/10 Early Capital and Seed Funding Journey Latka inquires about seed valuation caps in Israel in 2017, and Sharon gives general confirmation without diving into specific terms.14:14–18:32 · Nathan pushing back 5/10 Scaling Through Series A, Series B, and Banking Partnerships Latka asks if strategic bank investors widen ChargeAfter's margin spread, prompting Sharon to explain that banks act directly as marketplace lenders rather than margin multipliers.18:33–22:44 · Nathan pushing back 8/10 Probing Industry Margins and Sustainable Economics Sharon corrects Latka's margin estimate from 3-5% down to under 1.6% split across multiple players, and later forcefully objects to sharing private revenue metrics, leading Latka to challenge opaque VC-backed models.22:46–24:24 · Nathan pushing back 1/10 Team Distribution and the Future of Point-of-Sale Credit Sharon outlines team distribution across Israel and the US along with the company's long-term vision of becoming the connectivity rails for point-of-sale credit.

speaking balance: gold is Nathan, purple is the guest (3 minute bins)

0:00 · Nathan 62.4% · guest 37.6%0:00 · Nathan 62.4% · guest 37.6%3:00 · Nathan 18.2% · guest 81.8%3:00 · Nathan 18.2% · guest 81.8%6:00 · Nathan 46.3% · guest 53.7%6:00 · Nathan 46.3% · guest 53.7%9:00 · Nathan 35.1% · guest 64.9%9:00 · Nathan 35.1% · guest 64.9%12:00 · Nathan 69.7% · guest 30.3%12:00 · Nathan 69.7% · guest 30.3%15:00 · Nathan 25.7% · guest 74.3%15:00 · Nathan 25.7% · guest 74.3%18:00 · Nathan 31% · guest 69%18:00 · Nathan 31% · guest 69%21:00 · Nathan 41.4% · guest 58.6%21:00 · Nathan 41.4% · guest 58.6%24:00 · Nathan 59.3% · guest 40.7%24:00 · Nathan 59.3% · guest 40.7%
Sharpest disagreement ▶ 21:42 Sharon refuses podcast disclosure of internal financials

Sharon directly pushes back against Latka's persistent questioning, declaring that while he discusses metrics with investors, he will not reveal private numbers on a podcast.

Hardest push from Nathan ▶ 22:17 Latka challenges opaque metrics citing the WeWork precedent

Latka justifies his aggressive line of questioning by arguing that without probing unit economics, VC-backed companies burn money unchecked like WeWork.

Biggest teaching moment ▶ 20:05 Sharon breaks down transaction margin distribution

Sharon corrects Latka's 3-5% margin assumption, schooling him on how standard interchange fees of 1.6% are split among issuers, networks, and acquiring gateways.

Nathan holds their own ▶ 7:23 Latka corners Sharon into defining GMV run rate

When Sharon ambiguously claims 'hundreds of millions', Latka immediately interrupts and forces him on record to define the calculation as an annualized GMV run rate rather than lifetime GMV.

the scores for every segment, with the reasoning behind each
ChapterTopicNathan as informed peerGuest teachingGuest disagreementNathan pushing backWhy
Introducing Medad Sharon and the Evolution of Retail Finance 4512 Sharon explains how BNPL aggregation works, noting that single lenders reject up to 70% of applicants, which educates Latka on ChargeAfter's multi-lender value proposition.
Marketplace Metrics and GMV Run Rate Discussion 6257 Latka presses Sharon on exact merchant numbers and GMV volume after Sharon mentions 'hundreds of millions', forcing him to clarify whether it is an annualized run rate or lifetime total.
Becoming the 'Visa of BNPL' and Monetization Mechanics 5446 When Sharon tries to keep monetization terms vague, Latka refuses to move on and forces him to clarify between a SaaS flat fee, pure GMV take rate, or blended model.
Early Capital and Seed Funding Journey 4223 Latka inquires about seed valuation caps in Israel in 2017, and Sharon gives general confirmation without diving into specific terms.
Scaling Through Series A, Series B, and Banking Partnerships 5635 Latka asks if strategic bank investors widen ChargeAfter's margin spread, prompting Sharon to explain that banks act directly as marketplace lenders rather than margin multipliers.
Probing Industry Margins and Sustainable Economics 6888 Sharon corrects Latka's margin estimate from 3-5% down to under 1.6% split across multiple players, and later forcefully objects to sharing private revenue metrics, leading Latka to challenge opaque VC-backed models.
Team Distribution and the Future of Point-of-Sale Credit 3411 Sharon outlines team distribution across Israel and the US along with the company's long-term vision of becoming the connectivity rails for point-of-sale credit.

Statements from this episode (11)

Disclosure
ChargeAfter Powers Lenovo's Point-of-Sale Financing
“We are working with Lenovo as an example. If you go to Lenovo website, you will see Lenovo financing is powered by charge after, and we are allowing them to offer this to their consumers.”
Medad Sharon May 23, 2022 ▶ 2:57
Assertion Not checkable as stated
Most BNPL Lenders Approve Only 30% of Applicants
“Each lender is also focusing on specific credit segment. It might be prime, near prime or subprime, which means that they will approve only 30% of the consumers, or in other words, decline 70% of the consumers.”
Medad Sharon May 23, 2022 ▶ 4:08
Assertion Partly supported
Affirm's US Credit Box Excludes Subprime and Revolving Lines
“Because a firm, as an example, they're a great lender. Really, they're a great company, but they have a very specific product to a very specific credit box in a, in, in, in, in the US, right? They don't cover other countries. They don't cover near prime or sub…”
Medad Sharon May 23, 2022 ▶ 5:07
Disclosure
Visa, Synchrony, Citi, and BBVA Have Invested in ChargeAfter
“We have an amazing investors visa invested in charge after synchrony bank invested in charge of the city bank, BBVA.”
Medad Sharon May 23, 2022 ▶ 5:43
Prediction Not checkable as stated
ChargeAfter Aims for 80 Active Platform Lenders by Year-End
“We have close to 40 lenders already on the platform, which will go probably to 80 by the end of the year.”
Medad Sharon May 23, 2022 ▶ 6:32
Assertion Not checkable as stated
ChargeAfter Hits Hundreds of Millions in GMV Run Rate
“It's not all times. It's not all times. It's the current volume, the current run rate that we have.”
Medad Sharon May 23, 2022 ▶ 7:54
Disclosure
ChargeAfter Raises $44 Million in Recent Funding Round
“So in the recent round, we raised forty four million and we had, we added to our existing investor group, which is really great, right?”
Medad Sharon May 23, 2022 ▶ 15:46
Assertion Supported
Affirm Refuses to Partner with ChargeAfter's Lending Network
“And by the way, the firm is not working with us in Lenovo or elsewhere, but it's more about the ability to add more players that are believing in charge after vision and in charge after marketplace.”
Medad Sharon May 23, 2022 ▶ 17:41
Assertion Supported
ChargeAfter Powers Visa Installments for 3- to 18-Month Splits
“We are enabling Visa installments. It's a product of Visa that is enabling the consumer to split his payments over multiple installments from three months to 18 months using his existing code.”
Medad Sharon May 23, 2022 ▶ 18:18
Insight
ChargeAfter Replicates Visa's Network Model for BNPL Financing
“But in general, our model is similar. We are doing the same thing that visa did in the payment space in the BNPL point of self financing space.”
Medad Sharon May 23, 2022 ▶ 19:10
Assertion Supported
BNPL Network Take Rates Fall Far Below 3% to 5%
“No, it's certainly not three to five percent, right? ... It's much less, right? If you look on the payment space, right? When a merchant is typically paying in the U S somewhere between 1.6 to A critical transaction, right? This cost would include the issuing …”
Medad Sharon May 23, 2022 ▶ 20:02
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