Total amount raised
$646.3 Millions
Latest funding date
09/01/2023
Location
Dave has successfully raised funds through multiple rounds, with its last funding type being Post-IPO Debt. The platform offers a range of financial services, including banking, financial insights, overdraft protection, and credit-building products.
With 23 investors backing the company, including notable names like FTX Ventures and Corbin Capital Partners, Dave continues to innovate in the fintech space. Keep reading to explore the intricacies of Dave's fundraising journey and the investors supporting this dynamic platform.
What Is Dave?
Dave, founded on October 28, 2016, in Los Angeles, California, is a mobile banking app designed to simplify financial management. The company was established by Jason Wilk, John Wolanin, and Paras Chitakar.
Dave offers a range of services, including instant cash advances, a checking account with early paycheck access, budgeting tools, and a high-yield savings account. The platform also provides opportunities for users to earn extra money through surveys and job applications.
With a workforce of 251-500 employees, Dave aims to improve its members' financial wellness by offering transparent, fee-free banking services and robust security measures.
How Much Funding Has Dave Raised?
- Seed Round
- Amount Raised: $3M
- Date: April 2017
- Lead Investors: Not publicly disclosed
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To kickstart the development of the Dave app and its initial features.
- Series A
- Amount Raised: $13.3M
- Date: October 2017
- Lead Investors: Section 32
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To expand the app's features and grow the user base.
- Debt Financing
- Amount Raised: $10M
- Date: April 2018
- Lead Investors: Not publicly disclosed
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To support the growth of Dave’s banking product.
- Debt Financing
- Amount Raised: $110M
- Date: June 2019
- Lead Investors: Victory Park Capital
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To accelerate the company's expansion into new products and features.
- Series B
- Amount Raised: $50M
- Date: September 2019
- Lead Investors: Norwest Venture Partners
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To further develop the app and expand its market reach.
- Debt Financing
- Amount Raised: $100M
- Date: January 2021
- Lead Investors: Victory Park Capital
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To support the growth of Dave’s banking product and expand into new features.
- Post-IPO Equity
- Amount Raised: $210M
- Date: January 2022
- Lead Investors: Tiger Global Management
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To scale operations and enhance product offerings.
- Post-IPO Debt
- Amount Raised: $100M
- Date: March 2022
- Lead Investors: FTX Ventures
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To strengthen financial stability and support growth initiatives.
- Post-IPO Debt
- Amount Raised: $50M
- Date: September 2023
- Lead Investors: Not publicly disclosed
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To maintain liquidity and fund ongoing operations.
Total Amount Raised: $646.3M. Current Valuation: Not publicly disclosed.
Key Investors
- FTX Ventures
- Details: FTX Ventures is a venture capital firm that focuses on investing in innovative companies in the cryptocurrency and blockchain sectors. The firm aims to support the growth and development of the digital economy.
- Investment Focus Areas: Cryptocurrency, Blockchain, FinTech
- Notable Investments: Not publicly disclosed
- Corbin Capital Partners
- Details: Corbin Capital Partners is an investment management firm that specializes in multi-strategy hedge funds and private equity investments. The firm is known for its diversified investment approach and risk management strategies.
- Investment Focus Areas: Hedge Funds, Private Equity, Multi-Strategy Investments
- Notable Investments: Not publicly disclosed
- Victory Park Capital
- Details: Victory Park Capital (VPC) is a global alternative investment firm that provides capital to emerging and established businesses. Founded in 2007, VPC is headquartered in Chicago with additional resources in New York, Los Angeles, and San Francisco.
- Investment Focus Areas: Asset-backed opportunistic credit, Insurance services, Legal finance, Special situations
- Notable Investments: Not publicly disclosed
- Tiger Global Management
- Details: Tiger Global Management is an investment firm that focuses on private and public companies in the global internet, software, consumer, and financial technology industries. The firm has a long history of investing in high-growth companies.
- Investment Focus Areas: Internet, Software, Consumer, Financial Technology
- Notable Investments: Facebook, LinkedIn, Spotify
- Norwest Venture Partners
- Details: Norwest Venture Partners is a global venture capital and growth equity investment firm. The firm invests in early to late-stage companies across a wide range of sectors, including technology, healthcare, and financial services.
- Investment Focus Areas: Technology, Healthcare, Financial Services
- Notable Investments: Uber, Spotify, LendingClub
What's Next for Dave?
Dave's future looks promising with significant opportunities on the horizon. The $100 million credit facility from Victory Park Capital will enable the expansion of Dave’s banking product and the introduction of new features. This funding positions Dave to make a meaningful impact on communities by providing accessible financial solutions.
As the company continues to grow, future fundraising opportunities are likely, given the successful partnership with VPC. However, challenges such as competition from other challenger banks and traditional financial institutions, as well as maintaining scalability and reliability, will need to be navigated carefully. The focus on avoiding overdraft fees and providing automated budgeting tools aligns well with current industry trends, setting Dave up for continued success.
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