Slash Financial has raised $100 million in a Series C funding round at a $1.4 billion valuation, with participation from several established venture firms, as the fintech company reports $300 million in annualized revenue and continued expansion beyond its initial niche focus.
Funding Round Draws Established Venture Firms
Fintech-focused Ribbit Capital, Khosla Ventures, and Goodwater Capital led the round. Returning investors NEA and Y Combinator also participated, according to the company’s announcement.
Slash Financial provides business banking accounts, corporate credit cards, money transfers, and cryptocurrency-related services as part of its fintech platform.
Founders Shift Focus After Early Market Concentration
The company was founded about five years ago by Victor Cardenas and Kevin Bai, who were both 19 at the time and have since reached age 24, according to Bloomberg. The founders left college to build a fintech company initially focused on sneaker resellers.
That early focus tied the company closely to Yeezy, a key customer segment. The business model faced disruption after Kanye West made antisemitic remarks, which affected the brand’s operations. The company then shifted direction, moving away from reliance on a single vertical.
Company Expands Into Generalist Fintech Model
Cardenas states in a blog post that Slash now operates as a generalist platform rather than targeting a specific industry. The company reports 5,000 business customers and says it is generating $300 million in annualized revenue while remaining profitable.
Competitive Landscape Includes Large Fintech Firms
The company operates in a competitive segment that includes Ramp, which has reached a $32 billion valuation, and Brex, which was recently acquired by Capital One.
Featured image credits: Pix4Free
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