Salary Finance raises $20m funding to launch in US
Salary Finance has got a $20 million Series B investment led by founding investor Blenheim Chalcot and Legal & General – to be used to launch in the US and support growth plans in the UK.
Funding led by founding investor Blenheim Chalcot and Legal & General
According to Salary Finance, which was founded in 2015, it partners with employers to help employees move from debt to savings.
All savings deposits and loan repayments are taken by salary deduction, which creates a way for employees to manage their personal finances.
To date, it says it has helped employees save on average £600 in interest and pay off debts six to 12 months sooner.
The financial situation in the UK is very bleak at the moment for many people, and the firm cites various stats to support what most of us can see on a daily basis.
According to the Money Advice Service, 17 million working Brits – around 40% of the workforce – have less than £100 in savings, with debt increasing by 26% since 2013.
Salary Finance says: “At the same time, employers are recognising the link between an employee’s confidence in their personal finances and their engagement, productivity and wellbeing in the workplace, making financial wellbeing an increasing priority for employers in the UK and beyond.”
It currently has a million employees across the UK. Recent employers to join Salary Finance include BT, Capgemini UK, Virgin Active, Mitie and various NHS trusts and Councils.
For its US ambitions it has partnered with United Way, a non-profit focused on health, education and financial stability.
United Way is introducing Salary Finance to its corporate partners as an added employee benefit.
Salary Finance is currently in the process of rolling out to its first 250,000 employees in the US, including the employees of United Way and L&G America.
