Kashable, a leading fintech platform providing socially responsible credit and financial wellness solutions as an employer-sponsored voluntary benefit, has successfully completed a Series B capital raise of $25.6 million. The funding round was co-led by Revolution Ventures and Moneta Ventures, with participation from EJF Capital and Krillion Ventures.
The significant investment will propel Kashable’s ongoing expansion initiatives, accelerate the development of additional financial wellness services, and strengthen the company’s ability to extend affordable credit to employees across various credit spectrums. Additionally, the capital infusion will empower Kashable to expand its research and development technology team, refine its innovative underwriting model, and enhance its suite of financial products.
Einat Steklov, Co-founder and Co-CEO of Kashable, emphasized the company’s commitment to making access to credit inclusive and attainable. In a world where financial stability is paramount, Kashable takes a bold stance, offering affordable credit solutions and innovative financial wellness offerings through its employer-sponsored platform.
Kashable’s platform uniquely addresses the financial needs of employees while providing employers with an additional retention vehicle. The platform offers access to low-cost credit, allowing employees to secure loans with historically lower APRs and an average loan size ranging from $3,500 to $4,000. This empowers employees with an alternative to traditional borrowing methods and supports efforts to pay down existing debts.
One of the distinguishing features of Kashable is its innovative underwriting model. This model considers group and individual employment data, income stability, and various factors in real time. The algorithmic decision engine automates the entire process, making it efficient and accessible.
As the largest provider of employment-based loans in the United States, Kashable seamlessly integrates with employers’ Human Resource Information Systems (HRIS) and payroll systems. This integration enables immediate access to affordable loans that are automatically repaid through payroll deductions. The company has successfully collaborated with over 250 employers, including notable names such as Cigna, Reid Health, Huntington Ingalls, and Alight Solutions.
In addition to providing access to low-cost credit, Kashable places a strong emphasis on financial education. The platform offers employees free access to financial resources, including credit monitoring, individual financial coaching, and budgeting tools, contributing to a holistic approach to financial wellness.
The Series B funding round was co-led by Revolution Ventures and Moneta Ventures, both of which were also lead investors in Kashable’s Series A. The successful capital raise comes on the back of a remarkable growth trajectory, with the company achieving a sevenfold increase in Annual Recurring Revenue (ARR) in 2023.
Laurel Bowden, Partner at 83North, expressed confidence in Kashable’s mission, stating, “Vertice has a powerful combination of a tenacious team, fast execution, and a huge market with strong structural tailwinds.”
The funding will enable Kashable to continue its mission of providing accessible and responsible credit solutions while expanding its suite of financial wellness services. The company’s success in combining innovative financial products with a commitment to customer-centric solutions positions it for sustained long-term growth and success in the fintech landscape.
Rishi Kumar, Co-founder and Co-CEO of Kashable, highlighted the company’s commitment to scaling its product offerings and creating a pathway for more employees to access responsible credit. The funding will support Kashable’s ambitious growth plans, and the company aims to play a pivotal role in improving the financial well-being of working Americans.
The Series B funding marks a pivotal moment for Kashable, signaling strong investor confidence and support for its vision of making financial wellness and credit accessibility a reality for a broader audience. The additional capital will contribute to further innovation, technological advancements, and the expansion of the platform’s reach, ensuring that Kashable continues to lead in the employer-sponsored financial wellness space.
