Toronto-born NorthOne has raised a USD $67 million Series B funding round to further expand the reach of its business banking and financial management platform across all sectors of the small business community.
Eytan Bensoussan and Justin Adler founded NorthOne in 2016 to serve traditional businesses on main streets across America.
The company originally launched as Ferst Digital after returning investor Ferst Capital, which housed CEO Bensoussan as entrepreneur-in-residence. It was rebranded as NorthOne in fall 2017.
This new funding will enable NorthOne to continue raising the standard of products and services these owners should expect from their banking partners.
“Through an obsessive focus on our customers’ needs, we’ve been able to predictably build a business banking experience that unlocks an incredibly strong product-market fit,” said Bensoussan.
“As our customers grow, their problems evolve beyond the bank account. By connecting the data layer between accounting, receivables, payables, lending, payroll—all the financial operations—and the bank account ledger, we can provide a transformative offering that’s always felt out of reach for our customers: a world-class finance department built for their business.”
Despite one of the worst fundraising environments since 2008, this $67 million round proves that there remains deep conviction in the future of small businesses in America, with NorthOne leading the charge to support them on their journey.
Top investors from around the world rallied around the New York-based startup’s mission and product, including Battery Ventures, Don Griffith, Drew Brees, Ferst Capital Partners, FinTLV, Next Play Capital, Operator Stack, Redpoint Ventures, Tencent and Tom Williams, bringing NorthOne’s fundraising total to USD $90.3 million since launch.
“We founded NorthOne to solve big problems for small businesses. 50% of small businesses in America fail over a 5-year time horizon, and the majority of those failures are due to financial mismanagement and a lack of financial systems and controls,” added Adler.
“Our team is proud to be able to de-risk entrepreneurship and make starting and running a successful small business accessible to anyone.”