San Francisco-headquartered Lendtable, which provides cash advances to individuals to help them build wealth, has raised $18m in Series A funding at a $25m valuation.
The round was led by Dick Costolo, Adam Bain, and the team at 01 Advisors, with participation from existing investors Streamlined Ventures, SoftBank Opportunity Fund, Valor Equity Partners, and Dragon Capital.
Impossible Foods COO Dennis Woodside, SoFi CEO Anthony Noto, Complex CEO Rich Antoniello, Momentive CEO Zander Lurie and former Facebook VP of EngineeringÂ Jay Parikh, also participated as strategic angels.
Launched in 2020, Lendtable set out to build a FinTech that enables new people to begin saving for retirement, instead of creating more products for those already investing.
According to Lendtable, one in four Americans have no retirement savings, and about 60% of people at or near retirement age do not have enough money to retire. Meanwhile, the Social Security Trust is projected to run out of money in 2033.
The problem, Lendtable said, lies with the fact that income-constrained individuals are sacrificing long-term financial security to make ends meet on a daily basis. The company aims to help its customers invest in their retirement account, through its 401 (k) and ESPP products.
Lendtable said they will use the funding to triple its team size in the next year, continue to grow the core Lendtable 401(k) and ESPP products and expand its reach into strategic partnerships.
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