Toronto-based fintech startup Caary has received $4.1 million in funding in a late-seed equity round.
Caary’s financing involved a crowdfunding component with at least 150 undisclosed investors. The company claims it raised more than double its initial goal.
Founded in 2020, Caary offers a digital credit and payments platform to Canadian small and medium-sized businesses. The startup claims it has developed a unique model for evaluating and offering credit to SMBs based on assets and cash flow instead of credit history.
Caary previously raised a seed round of $1.6 million in May 2021 to fuel its talent recruitment efforts, which included adding former OMERS advisor John MacKinlay as CEO.
Caary also claims it provides same-day credit card approval, no personal guarantee requirements, and “near-instant” virtual card issuance, with physical cards to follow on demand.
The company plans to use its new funding to improve the product and support its go-to-market strategy, as it plans to launch its full platform this fall following the rollout of a private beta over the summer.