Migrant banking platform Majority lands $20m in “push towards profitability”
Fintech start-up Majority, which offers a mobile banking platform for migrants in the USA, has raised an additional $20 million through its latest funding round.
Majority raises $20m in fresh funding round
The platform’s fifth round of funding was comprised of $12.5 million in equity and $7.5 million in debt and was led by “a group of seasoned fintech founders”.
These include Klarna co-founder Victor Jacobsson, Hjalmar Winbladh of Ark Kapital, and Izettle co-founders Magnus Nilsson and Jacob de Geer, with follow-on investment from venture capital firms Avid Ventures, Valar Ventures, and Heartcore Capital.
These two latter VCs previously supported the platform’s Series B funding round in September 2022, which saw Majority raise $37.5 million, before returning last June to deliver a $9.75 million top-up. Majority now claims to have raised more than $90 million in equity since its founding in 2019.
The platform states that the funding is the final step in its “push towards profitability” and will be used to “further expand the product by developing its global immigrant-focused offering”.
For $5.99 a month, Majority provides checking accounts and debit cards, retail discounts, and international calling and money transfer services tailored specifically for the 50 million immigrants currently living in the USA. Onboarding to the service can be achieved through either a social security number or individual taxpayer identification number, or if neither are present, a government-issued photo ID and proof of residency.
The platform currently generates $40 million in annual recurring revenue (ARR) and receives $200 million in new deposits per month, according to figures from April 2024.
To support its expansion, the company has hired former Apple credit risk manager, Abhi Pabba, as its new chief risk officer. Pabba has previously served in risk management positions for the likes of Capital One, credit card platform X1, and most recently, Karat Financial.
