Synctera, a trailblazer in embedded banking and finance, has announced an impressive $18.6m extension to its 2021 Series A funding round.
The investment, co-led by Lightspeed and Fin Capital, boasts contributions from previous backers such as NAventures and Diagram, with new investors Banco Popular and Mana Ventures also joining the fray.
At its core, Synctera facilitates companies of all sizes in launching FinTech apps and embedded banking products swiftly and compliantly. Its end-to-end Banking as a Service (BaaS) platform is designed to significantly reduce the time and cost associated with developing these solutions in-house or through multiple vendors. By offering a seamless integration with APIs, compliance support, and bank partnerships, Synctera enables a more efficient and streamlined development process for banking products, including bank accounts, debit cards, lending services, and more.
The fresh capital will be directed towards accelerating Synctera’s growth, particularly focusing on expanding its offerings to support larger and more complex customer use cases in the US and other international markets. This strategic move is aimed at bolstering Synctera’s position as a leader in the FinTech industry, enabling it to cater to an ever-growing range of unique use cases and customer demands.
Adding to its momentum, Synctera has recently appointed Leigh Gross as its Chief Revenue Officer (CRO), a move that further solidifies its commitment to scaling its operations. With Gross’s extensive experience in FinTech and a track record of driving growth, Synctera is poised for a significant surge in 2024. This includes launching new products like SyncteraPay, which allows companies to process and settle payments using Synctera’s platform, and expanding into new geographies and client segments.
The company has seen remarkable growth in the past year, including a 4.5x increase in ARR, doubling its live customer base, and a 20-fold increase in platform spend. These achievements highlight Synctera’s capability to serve larger and more established programs, reflecting its adaptability and the broad applicability of its platform.
Synctera co-founder and CEO Peter Hazlehurst said, “We’ve been very fortunate to be able to meticulously, and opportunistically, raise money on the back of super strong growth to double down on what’s working and accelerate our momentum with enterprise customers.”
Notably, Synctera’s partnership with NAventures, the corporate venture arm of National Bank of Canada, has been a key driver of its expansion into Canada, marking a significant milestone with its first Canadian customer launch in December 2023.
Joshuah Lebacq from NAventures shared his enthusiasm for the partnership’s success, “We are pleased by the progress we’ve made with Synctera in a relatively short time. We effectively unlocked new core banking and payment capabilities in months rather than years, which now serve as building blocks for long-term success. We knew that it was important to do things the right way, no matter how long it took, but the speed to market we’ve experienced exceeded expectations.”
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