Palo Alto, California based fintech company Earnin has secured $125 million in Series C investment round from their existing investor Andreessen Horowitz and others. The fresh funding which takes the total amount raised by the funding to $190.1 million saw participation from DST Global, Spark Capital, Matrix Partners, March Capital Partners, Coatue Management and Ribbit Capital. However, the post-money valuation of the company has not been disclosed.
The company was started in 2012 by Ram Palaniappan. The company rebranded itself last year in October as a platform which wants to help employees get rid of troubled paycheck method which is going around. The platform allows the users to have better control of their money. The firm charges zero fees for the services which helps the employees get their money as and when they need.
Palaniappan, the CEO of the company talking about the firm said, “We’ll continue to shine a spotlight on unfairness. Our work doesn’t end with the pay cycle. We will expand our team and develop new partnerships, but most importantly, continue to drive awareness around the financial challenges faced by so many Americans.”
Alex Rampell, the general partner at Andreessen Horowitz who will be joining the board of Earnin said that “Earnin is a champion for everyday Americans. It’s rare for a company to tackle social change while also solving financial challenges, but Earnin’s advocacy and unwavering drive to redefine the banking system is what sets them apart.” The firm often seems to have among the top 10 finance apps on App Store. The platform currently has 1 million downloads and is been used by more than 50,000 companies.
DST Global general partner Rahul Mehta commenting on the investment said, "We’re excited to partner with Ram and his team to help reduce the financial stress of working Americans. Earnin’s truly innovative and unique approach has shielded people from unnecessary fees and predatory lending practices. The company’s significant growth in 2018 is a testament to the value they provide their community.”
Image Courtesy : earnin