Tabbedout raises $3.7M to simplify bar and restaurant payments

ATX Innovation, the startup behind mobile payments application Tabbedout, has secured $3.7 million to make bar and restaurant payments much simpler.

Using the free TabbedOut application for the iPhone and Android, users open a tab when they’re visiting a supported restaurant or bar, and share the special assigned code with their waiter or bartender. Then, items are automatically added to their tab as they’re ordered and users can complete payment using their credit card in the application itself, eliminating the need to wait for a bill.

The startup also now fully integrates with the POS system developed by MICROS Systems, and says bars and restaurants across 90 cities can now accept payment through its application. Since its earlier funding of $2.05 million, TabbedOut has managed to double its number of accepted merchants along with the size of its staff.

ATX Innovation is based in Austin, Texas. With its latest funding, the startup completes its $5.75 million first round. Investors in the round have included New Enterprise Associates, Trellis Partners, and other angel investors.