Skip to main content
https://www.highperformancecpmgate.com/rgeesizw1?key=a9d7b2ab045c91688419e8e18a006621

Wise raises another $12 million to double down on embedded business banking

Fintech startup Wise has raised a $12 million Series A round. The company offers business bank accounts with an interesting go-to-market strategy. Wise partners with other companies so that they can offer bank accounts to their own customers.

For instance, if you’re running a marketplace or an e-commerce platform that matches companies with individual customers, you can leverage Wise to offer bank accounts to your partner companies. RemoteTeam is using Wise to improve its payroll experience for… remote teams.

e.ventures is leading today’s funding round with Grishin Robotics also participating. Seed investors Base10 Partners and Techstars are also investing again.

Wise isn’t a classic bank-as-a-service company as it doesn’t want to power neobanks and help them get started. Instead, the startup targets other companies that touch on financial services but can’t offer those services because it’s such a big investment.

Integrating Wise in your product doesn’t require significant development or regulation efforts. You don’t have to develop an entire banking user interface as you can just redirect your customers to Wise. The fintech startup also handles know-your-customer and know-your-business (KYC and KYB) processes.

When your clients have their own Wise accounts, it lets them do all the basic things you’d expect from a business bank account. You can hold money, pay with bank transfers, a debit card, a virtual card or checks, and get paid using card payments, ACH and checks.

Behind the scene, BBVA provides banking services, which means that your deposits are FDIC insured up to $250,000. The company also uses Stripe for some features and other infrastructure companies.

Wise co-founder and CEO Arjun Thyagarajan describes those partners as building blocks. The company can swap those partners and integrate with other APIs to launch in new countries for instance.

Interestingly, if you choose to offer Wise bank accounts to your partners, you’ll share the revenue on deposits and interchange fees.

Up next, the company plans to expand to other countries, such as Canada. It’ll also try to tackle specific verticals, such as marketplaces for telemedicine and healthcare startups in general. It could require adding different features for different types of customers.

Wise is also negotiating some partnerships with high-profile companies, which should bring new customers to the platform.

Comments

Post a Comment

Popular posts from this blog

Uber co-founder Garrett Camp steps back from board director role

Uber co-founder Garrett Camp is relinquishing his role as a board director and switching to board observer — where he says he’ll focus on product strategy for the ride hailing giant. Camp made the announcement in a short Medium post in which he writes of his decade at Uber: “I’ve learned a lot, and realized that I’m most helpful when focused on product strategy & design, and this is where I’d like to focus going forward.” “I will continue to work with Dara [Khosrowshahi, Uber CEO] and the product and technology leadership teams to brainstorm new ideas, iterate on plans and designs, and continue to innovate at scale,” he adds. “We have a strong and diverse team in place, and I’m confident everyone will navigate well during these turbulent times.” The Canadian billionaire entrepreneur signs off by saying he’s looking forward to helping Uber “brainstorm the next big idea”. Camp hasn’t been short of ideas over his career in tech. He’s the co-founder of the web 2.0 recommendatio
Post a Comment
Read more

Drone crash near kids leads Swiss Post and Matternet to suspend autonomous deliveries

A serious crash by a delivery drone in Switzerland have grounded the fleet and put a partnership on ice. Within a stone’s throw of a school, the incident raised grim possibilities for the possibilities of catastrophic failure of payload-bearing autonomous aerial vehicles. The drones were operated by Matternet as part of a partnership with the Swiss Post (i.e. the postal service), which was using the craft to dispatch lab samples from one medical center for priority cases. As far as potential applications of drone delivery, it’s a home run — but twice now the craft have crashed, first with a soft landing and the second time a very hard one. The first incident, in January, was the result of a GPS hardware error; the drone entered a planned failback state and deployed its emergency parachute, falling slowly to the ground. Measures were taken to improve the GPS systems. The second failure in May, however, led to the drone attempting to deploy its parachute again, only to sever the line
Post a Comment
Read more

ProtonMail logged IP address of French activist after order by Swiss authorities

ProtonMail , a hosted email service with a focus on end-to-end encrypted communications, has been facing criticism after a police report showed that French authorities managed to obtain the IP address of a French activist who was using the online service. The company has communicated widely about the incident, stating that it doesn’t log IP addresses by default and it only complies with local regulation — in that case Swiss law. While ProtonMail didn’t cooperate with French authorities, French police sent a request to Swiss police via Europol to force the company to obtain the IP address of one of its users. For the past year, a group of people have taken over a handful of commercial premises and apartments near Place Sainte Marthe in Paris. They want to fight against gentrification, real estate speculation, Airbnb and high-end restaurants. While it started as a local conflict, it quickly became a symbolic campaign. They attracted newspaper headlines when they started occupying prem
Post a Comment
Read more