ClassWallet has disclosed the successful closure of a significant institutional growth capital round totalling $95m.
This sizeable fundraise was spearheaded by Guidepost Growth Equity, and saw participation from noteworthy investors such as Education Growth Partners (EGP) and Lazard Family Office Partners. The commitment these investors have shown will undoubtedly bolster ClassWallet’s ongoing endeavours to revolutionise how government agencies transact.
Delving deeper into its workings, ClassWallet is not merely a digital wallet. With its patented technology, it serves as an avenue for its clients to distribute funds both swiftly and compliantly on a grand scale. It manages to automate the entirety of the purchasing and reimbursement process.
The compelling need to enhance workflows, guarantee compliance, guard against fraud, and monitor expenditure is why ClassWallet finds itself utilised for a myriad of purposes. From education and early childcare to scholarships and emergency assistance, it’s making waves in 32 US states.
Jamie Rosenberg, ClassWallet Founder and CEO, commented on the pressing challenges in the sector, “There are significant complexities to ensuring public funds reach the right people and are used for the right purpose. The truth is, compliance is frequently the stumbling block for government initiatives. It’s disheartening to see eager governors and policy creators bankroll programmes based on perceived needs, only to later witness funds lying idle due to compliance-related red tape. That’s the issue ClassWallet addresses.”
Guidepost General Partner, Gene Nogi, remarked on the transformational prowess of ClassWallet, “ClassWallet has fundamentally transformed the way state agencies and school districts disburse funds. With ClassWallet’s adoption, these agencies can finally bid adieu to the outdated, laborious procedures that hindered public fund distribution. Our excitement to collaborate with ClassWallet, given their dominant market position, knows no bounds.”
Further support comes from Andy Kaplan, Managing General Partner at EGP, “We are eager to back ClassWallet’s progressive trajectory. Their innovative approach to fund disbursement in education and the subsequent positive academic impacts for learners align perfectly with what we seek in edtech investments.”
Keep up with all the latest FinTech news here.
Copyright © 2023 FinTech Global