Member Article

Small business challenger bank closes £11m Series A

Upstart challenger bank Tide, which offers small business account openings in as little as five minutes on a smartphone, has closed a $14m (£11m) Series A funding round.

Funding in the digital-only bank, which launched to the public in January, was led by London-based Anthemis with Creandum, along with previous backers Passion Capital and LocalGlobe.

The FinTech startup will now look to invest the funding in a raft of new features, including different currency options, as well as build out its business-focused services and double headcount at its London office.

Founder and Chief Executive Officer, George Bevis, commented: “Our investors believe there is a real opportunity to support and champion small and medium-sized companies in the wake of Brexit.

“Britain’s smaller firms have been let down by traditional banks, which often charge vulnerable companies eye-watering fees and keep them waiting weeks to open a business account.”

In a further sign of the growing collaborative spirit currently sweeping through the capital’s FinTech ecosystem, Tide has also announced that it has entered into a partnership with business loan provider iwoca to offer loans of up to £100k to its business users.

It follows similar tie-ups between the likes of digital-only Starling Bank and investment app Moneybox or Revolut and P2P lender Lending Works, and hints at the growing trend towards the bundling together of different services and products.

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