BaaS start-up Unit raises $100m Series C

Israeli Banking-as-a-Service (BaaS) start-up Unit has raised a $100 million Series C round, valuing the company at $1.2 billion.

Unit raises $100m Series C

The round, led by by Jeff Horing of Insight Partners, saw participation from existing investors Accel, Better Tomorrow Ventures, and Flourish as well as new investors Stepstone, Moving Capital and a host of fintech angels.

Unit is a BaaS platform that allows companies to embed financial services into their products.

The company intends to use the capital raised to develop and rollout new products “and make it even easier for companies to launch and succeed with banking products”.

These products include including additional Software Developer Kits (SDKs) and banking front-ends, additional integrations and capabilities, building on Unit’s recent Amazon Web Services integration.

Unit says it will also continue to add partner banks and invest in its compliance and legal teams.

“We are committed to maintaining the highest standards for security and reliability and making ongoing investments in tools and processes that serve our partner banks and compliance teams,” the company says.

Additionally, Unit is looking to offer credit products that companies can offer to their end-customers, using a set of “smart and flexible building blocks” that represent different credit products.

“Companies will be able to make an API call and create a credit card, a revolving loan, or other credit products originated by Unit’s bank partners,” the company says.

Unit currently has more than 140 customers, who take advantage of its “modern tech stack built on a native ledger, embedded compliance, and built-in bank relationships”.

In the last six months, the company has seen deposits held at its bank partners grow 10x and cross $100 million.

In June last year, Unit raised $51 million in a Series B round.