Total amount raised
$165 Millions
Latest funding date
11/1/2024
Location
Cardless has successfully raised $30 million over multiple funding rounds, with its latest round being a Venture - Series Unknown.
The platform enables consumer brands to launch and manage credit card products seamlessly. Keep reading to explore the intricacies of Cardless' fundraising journey and the investors backing this innovative platform.
What Is Cardless?
Cardless, founded in 2019 by Michael Spelfogel and Scott Kazmierowicz, is based in San Francisco, California. The company specializes in providing an embedded credit card platform for consumer brands. With a team of 11-50 employees, Cardless enables businesses to launch and manage integrated credit card experiences efficiently.
How Much Funding Has Cardless Raised?
- Pre-Seed Round
- Amount Raised: $200K
- Date: May 2019
- Lead Investors: Pear VC
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To kickstart the development of their platform and validate the business model.
- Seed Round
- Amount Raised: $2.8M
- Date: October 2019
- Lead Investors: Greycroft
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To expand the team and develop the initial product offering.
- Series A
- Amount Raised: $7M
- Date: June 2020
- Lead Investors: Accomplice, Greycroft
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To scale operations and enhance the platform's capabilities.
- Series B
- Amount Raised: $40M
- Date: July 2021
- Lead Investors: Activant Capital
- Valuation at Round: Slightly above $350M
- Motivation Behind the Round: To accelerate growth and expand into new markets.
- Funding Round
- Amount Raised: $10M
- Date: July 2022
- Lead Investors: American Express Ventures
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To develop new features and enhance customer experience.
- Debt Financing
- Amount Raised: $75M
- Date: May 2023
- Lead Investors: i80 | Group
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To support liquidity and operational expansion.
- Venture Round
- Amount Raised: $30M
- Date: November 2024
- Lead Investors: Activant Capital
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To drive product development and expand into new sectors.
Total Amount Raised: $165M. Current Valuation: Not publicly disclosed.
Key Investors
- Activant Capital
- Details: Activant Capital is a venture capital firm that led the latest $30 million funding round for Cardless. They focus on high-growth technology companies and have a strong track record in scaling businesses.
- Investment Focus Areas: Technology, software, e-commerce.
- Notable Investments: Better.com, Deliverr, Bolt.
- i80 | Group
- Details: i80 | Group is a financial services firm that provided $75 million in debt financing to Cardless. They specialize in providing capital solutions to high-growth companies.
- Investment Focus Areas: Financial services, technology, growth-stage companies.
- Notable Investments: Not publicly disclosed.
- American Express Ventures
- Details: American Express Ventures is the venture capital arm of American Express. They participated in the $10 million funding round for Cardless in July 2022.
- Investment Focus Areas: Fintech, digital payments, customer experience.
- Notable Investments: Stripe, Plaid, Bill.com.
- Greycroft
- Details: Greycroft is a venture capital firm that led the $2.8 million seed round for Cardless in October 2019. They invest in early and growth-stage companies across various sectors.
- Investment Focus Areas: Technology, media, fintech.
- Notable Investments: Venmo, Braintree, Scopely.
- Pear VC
- Details: Pear VC is an early-stage venture capital firm that led the $200K pre-seed round for Cardless in May 2019. They focus on partnering with founders at the earliest stages of their companies.
- Investment Focus Areas: Technology, consumer, healthcare.
- Notable Investments: DoorDash, Gusto, Branch.
What's Next for Cardless?
Cardless stands at the cusp of significant opportunities, particularly in the business and e-commerce sectors. With partnerships like the one with Alibaba, the company is poised to offer tailored credit solutions for SMEs. The fintech's ability to power co-branded cards on Visa, Mastercard, and American Express networks further amplifies its market potential. The recent $30 million funding round will fuel product development and expansion into retail and SME markets, setting the stage for substantial growth.
Future fundraising seems inevitable as Cardless continues to scale. The company's impressive growth metrics, including a fivefold increase in annual revenue and a tripling of Gross Transaction Value, make it an attractive candidate for additional investment. However, challenges such as regulatory compliance, competition from other fintech firms, and maintaining growth momentum could pose hurdles. Navigating these challenges will be crucial for Cardless as it aims to solidify its position in the fintech landscape.
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