Miami, Florida-based neobank Novo raised $35 million in funding, taking its Sequence B funding spherical to $125 million.The Sequence B raises Novo’s complete fairness funding to greater than $170 million.The most recent capital infusion comes from GGV Capital, which manages greater than $9 billion in investments throughout North America, China, Southeast Asia, India, Latin America, and Israel.
An extra $35 million funding brings the overall raised by Miami, Florida-based fintech Novo to $125 million. The most recent infusion comes courtesy of strategic investor GGV Capital, and brings Novo’s complete fairness funding to greater than $170 million.
In an announcement, Novo CEO and co-founder Michael Rangel highlighted the brand new performance of the Novo Platform and the “tens of thousand” of small enterprise prospects the corporate has onboarded. Rangel additionally praised GGV as “instrumental” in serving to different expertise corporations (“from Airbnb to Sq.”) scale their companies, and mentioned he believed the assist of the agency would assist Novo attain “hundreds of thousands extra small companies within the coming years.” Notice that GGV Capital Principal Robin Li will be part of Novo’s board of administrators as an observer.
With greater than 175,000 small enterprise prospects, Novo provides a free enterprise checking account with free ACHs and incoming wires; a Novo Digital card; no hidden charges; and an software course of that may be accomplished in lower than 10 minutes. Novo additionally gives on-line small enterprise banking companies together with the power to ship and monitor invoices; as put aside funds for taxes, payroll, and extra by way of its Novo Reserves function. Novo is partnered with Middlesex Federal Financial savings, which gives FDIC protection of Novo deposits as much as $250,000.
Moreover, as of 2021, the corporate has supplied Novo Apps, a complete apps market to allow SMEs to customise their banking expertise; Novo Increase, which provides small companies identical day entry to funds obtained by Stripe; in addition to Categorical ACH that permits identical day processing of ACH funds.
GGV Capital Managing Accomplice Hans Tung underscored Novo’s “ecosystem strategy” to offering banking companies to small companies, freelancers, and gig financial system staff. “They’ve constructed a strong, intuitive platform that permits SMBs to attach all of their enterprise and monetary functions to their Novo account,” Tung mentioned.
Novo’s newest funding comes as the corporate proclaims surpassing $12 billion in lifetime small enterprise transactions. Based in 2016, Novo was named one of many “Subsequent Billion-Greenback Startups” of 2022 by Forbes earlier this yr.
Photograph by cottonbro studio
