Israeli FinTech startup, Unit, a platform for implementing financial services into existing products, secured $51 million in Series B funding. The round was led by Accel -- one of the more prominent VC investors, who previously invested in a few popular ideas, such as Facebook, Slack, Spotify, and DJI. Existing investors, including TLV Partners, Better Tomorrow Ventures, Aleph, and Flourish Ventures also participated in the round.
Building services directly in Unit’s sandbox
The Unit system enables companies to build financial features directly into their product. This includes next-gen options like linking bank accounts, credit cards, payments, lending products, and more. The platform helps Unit customers implement financial services into their core technologies in order to offer their customers a more diverse experience.
"At Unit, our mission is to help companies launch new banking products that unlock value and expand financial access for all," said CEO and cofounder Itai Damti.
The Israeli startup’s platform was developed to help enterprises with numerous customer accounts provide financial services without getting stuck in banking regulation purgatory. Unit’s BaaS (Banking as a Service) infrastructure saves enterprises from lengthy negotiations with banks, as well as helping them meet certain regulatory compliance. This is done by reaching early standard agreements with banks while complying with their regulations -- and through a plug-and-play interface for building relevant financial products.
"We designed Unit to be the simple, powerful infrastructure to power the new generation of fintech builders. Quality infrastructure expands the financial ecosystem — launching new companies, and growing revenues at existing ones. The new round will help us expand our platform into additional financial products, SDKs, and integrations, further making Unit the easiest way for companies to launch new banking products,” adds Damti.
Alongside the announcement on the investment, Unit also launched Unit Go, a new product that allows companies to create live bank accounts and issue physical and virtual cards in minutes. Additionally, users will be able to build tailored financial services in Unit’s sandbox (live environment) and immediately test their developed products using real money. The product is currently in its beta version and should be available to the public in the fall of 2021.
Unit notes that since last December's launch from stealth mode, its platform has become the preferred choice for companies looking to build accounts, cards, payments, and lending products. The company has also reported accelerated growth over the last three months, highlighting its new end users 600% rise.
Unit was founded by Damti and CTO Doron Somech, the former founders of Leverate. The startup has raised almost $70 million to date. Unit employs a team of 20, split between offices in Israel and the U.S. The capital will be used by the company to advance the product’s technology, add new services, and expand headcount.