Friends, we’re back with a new week’s look at the venture capital sector in fintech. We have numbers back in the stratosphere, and some interesting trends in this week’s round of funding winners.
- The top deal came in this week $411M and falls within the BNPL category – a sector we’ve seen grow substantially in the past year;
- Four of the five deals came out of the US – two in NYC and two in California – showing that of all the countries, the US still seems to be leading the pack in venture capital fundings;
- South Korea came forward in the group with a new insurance offering products such as per mile auto insurance, which we think is a brilliant idea, given how little mileage we put on our cars annually.
Without further ado, here are this week’s top 5 fintech VC deals for the week below, in order from highest to lowest funding levels.
$411M, Equity & Debt| California | BNPL Platform | Streamlined Ventures, Cervin Ventures, 8-Bit Capital, HoneyStone Ventures | ratiotech.com/
“Ratio is a new kind of FinTech which combines payments, pricing, financing and checkout into one platform. We are reinventing the way that recurring revenue businesses, starting with SaaS companies, accelerate sales and leverage capital to fuel growth. Ratio is democratizing how customers buy technology and how technology companies fund themselves by removing barriers to purchase and creating access to a new source of growth capital. Simultaneously, we are creating a new multi-trillion dollar fixed income asset class for investors. We currently offer two products to serve this market: a) Ratio Boost – A fully integrated buy-now-pay-later (BNPL) payment and checkout product for SaaS and recurring revenue companies. Your customers are offered ultimate payment flexibility and a frictionless buying experience, while you still get paid upfront for each customer contract without discount or dilution. b) Ratio Trade – A non-dilutive upfront capital solution for high growth SaaS and recurring revenue companies backed by their portfolio of contracts. No need for companies to discount or dilute for growth or working capital. No restrictive covenants and access to capital in days not months.“
$3161M Seed, Equity & Debt | NYC | Credit Card Issuance Platform | Anthemis, Fin Capital, CRVFinancial Venture Studio, Dash Fund, Plug & Play | https://usepower.com/
Firm Website Overview:
“Power takes care of all aspects of credit card management, including customer experience, application decisioning, transaction processing and more; Power’s dynamic technology allows for seamless and streamlined integration from testing to launch;Power is already pre-configured and integrated with third-party data vendors, saving time when setting up KYC and underwriting decision flows; You’ll work directly with Power’s product, technology, and business leaders to define the flow of funds, settlement, and compliance monitoring procedures.“
3Carrot General Insurance
$250M | South Korea | Digital Insurance Carrier | Affirma Capital, Hanwha Group, Stic Investments, Altos Ventures | https://carrotins.recruiter.co.kr/
LinkedIn Overview (via Google Translate):
“Carrot Insurance is Korea’s first digital non-life insurance company established jointly by large investment companies such as Hanwha, SK Telecom, Hyundai Motor, and Altos Ventures to present a new paradigm of insurance with new products and differentiated services to customers.
Since its launch in January 2020, we have continued to launch Korea’s first per-mile auto insurance, Smart ON insurance, and 990 driver’s insurance, leading the digital transformation of the non-life insurance industry.
Carrot will introduce an insurance service that is easy, economical, and fits in with customers’ lives by providing innovative insurance services like never before. We are waiting for colleagues to join us in this dream and mission.”
$146M | California | Insurance Processing Platform | FTV Capital | http://www.patracorp.com
LinkedIn Firm Overview:
“Patra is a leading provider of technology-enabled services to the insurance industry. Patra powers insurance processes by optimizing the application of people and technology, supporting insurance organizations as they sell, deliver, and manage policies and customers through our PatraOne platform. Patra’s global team of process executives in geopolitically stable and democratic countries that protect data, allows agencies, MGAs, wholesalers, and carriers to capture the Patra Advantage – profitable growth and organizational value. Patra is also a founding member of the InsurConneXtions Alliance, representing leaders across insurance technology, brokerage, wholesale, and specialty insurance, representing over $50 Billion in Insurance premiums…”
$126M, Series B, Equity & Debt | New York | Freight-Focused Payments & Financial Automation Platform | Temasek | https://www.denim.com/
“Denim is a financial enablement platform for the logistics industry that offers an ecosystem of intelligent financial products, operations tools, and time-saving automation. Its proprietary technology enables freight brokers to simplify their financing operations and easily access the working capital they need to grow in the competitive, $2 trillion logistics market. Denim automates invoicing, collections, and payments — ultimately reducing daily payments and collections tasks by 75%. A remote-first company, Denim has been named a Best Place To Work by Built In and Best Workplace for Innovators by Fast Company.“
We’ll be back next week with more news on fintech VC funding.