Small business banking platform Novo has reached a $700m valuation following the close of its Series B round on $90m.
Stripes acted as the lead investor, with commitments also coming from existing backers Valar Ventures, Crosslink Capital, Rainfall Ventures and BoxGroup.
With this equity infusion Novo plans to build out more modern lending capabilities, integrations and proprietary products that allow small businesses to send and receive money more quickly.
One of the new features the company is looking to add is the Novo App Marketplace. This will allow businesses to centralise their finances, giving them instant visibility into everything from e-commerce sales, to pending invoices and cash-on-hand.
Other new features are invoicing, cashflow insights and reserves.
Novo CEO and co-founder Michel Rangel said, “After speaking with thousands of our more than 150,000 customers over the last few years, one theme keeps coming up: the more you can help a small business remove all red tape and friction around cash flow, the better off that business is.
“With this additional funding, Novo will take a huge leap forward in improving cash flow for small businesses. In the coming months and years, our small business customers will be able to access their funds faster than they ever thought possible.”
The FinTech company has experienced strong growth this past year, having recently surpassed $5bn in lifetime transactions – processing over $4bn in 2021 alone.
With the close of the latest round, Novo has raised a total of $135m in funding.
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