An online banking outfit targeting startups called Mercury, which is based in San Francisco, has raised $120 million in a Series B funding round at a valuation of $1.62 billion in a round of funding.
Among the investors in this round were Andreessen Horowitz, CRV, Sapphire Ventures, along with a number of angel investors, including Coatue Capital.
In addition, FinTech startups are imitating the likes of Robinhood and Doximity in that they have added their own clientele to the list of investors in their initial public offerings, reflecting the type of model experienced by startups such as Robinhood and Doximity. Retail investors have a $5 million allotment that they can join in on for as little as $100 per investment on Wefunder, where a total of over $4 million has already been raised.
Mercury is a full-stack bank account launched in 2019 by Immad Akhund. It offers a number of features that would help startups scale, including cashflow analytics, programmatic payments and instant runway estimations.
It is expected that the company’s new $120m war chest will allow it to grow at an exponential rate in the near future. Mercury currently has 150 employees and has plans to hire some 200 more over the course of the next year.
In spite of the fact that more traditional players such as Silicon Valley Bank are more used to serving startups, Mercury – which describes itself as a bank for startups – has made inroads by offering a more tech-friendly and fee-free user experience to attract new customers.
There are already more than 40,000 small and medium-sized businesses signed up with the firm, which makes money through interchange fees and on the $4bn in deposits it holds on behalf of clients.
The new funding will allow Mercury, which currently has 150 staff members, to increase its headcount and build even more products as it strives to transform banking into something that captures the attention of consumers.
Mercury is a San Francisco-based startup that targets startups and other smaller companies with low or no existing financials. They have just raised $120m in a $1.62bn Series B funding round led by Goldman Sachs.
Coatue’s participation in the second batch of funding for this round of funding is an indicator of the strength of the demand and interest in ecommerce in the market.
FinTech has a strong relationship with startups like Robinhood and Doximity who are adding their own clients to the initial public offering process.
A total of $5 million is being set aside to invest in startups. Wefunder will allow retail investors to sign up to invest in $100 and below. More than $4 million has already been raised to date.
It’s a new $120 million war chest is expected to let the company grow magnitudes bigger.
Mercury is growing faster than ever. At the beginning of the year, they had 150 employees, and they plan to hire 200 more employees in the coming months.
The only bank that has helped a large number of companies scale, Mercury offers full-stack banking products. They have products designed to make scaling easy.
Mercury has been making a name for itself by selling customers on its more tech-friendly and fee-free experience.
This financial services company is making more than 40,000 small businesses richer. They get paid when other people’s money is deposited in their account. They make money from cash in the bank, not interest.
Mercury now has more money in the bank, so the company is going to expand its staff and work on building new products as it aims to make banking as easy as magic.