Float Financial, a business finance platform serving Canadian businesses, has raised C$70m ($48.76m) in a Series B financing round.
The latest round has increased its total funding raised over the past 12 months to C$120m ($83.59m).
The financing round was led by Growth Equity at Goldman Sachs Alternatives. It also had participation from OMERS Ventures, FJ Labs, Teralys, and Float Financial’s existing investor Garage Capital.
Goldman Sachs Alternatives growth equity investor Clare Greenan said: “Float’s impressive growth so early on is a testament to its Canadian focus, customer-centric platform and deeply committed team.
“We are thrilled to support Float in its next phase of expansion, as it makes innovative business finance solutions more accessible to Canadian businesses.”
Float Financial provides with an integrated suite of financial services, including corporate cards, bill payments, expense management, and high-yield accounts. It serves Canadian brands such as Jane Software, LumiQ, and Knix.
The firm aims to revolutionise how businesses of all sizes manage their spending, savings, and growth, combining innovative financial services with cutting-edge software.
Since its Series A in November 2021, Float Financial has reported a 45-fold increase in total payment volume (TPV), a 50-fold revenue growth, a 30-fold increase in assets under management (AUM), and a 140-fold expansion in credit issuance.
This impressive growth has been achieved despite the broader macroeconomic uncertainty, stated Float Financial.
In 2024, Float Financial expanded its product offerings to enhance its expense management software and corporate cards.
The new features are designed to simplify financial operations by automating accounts payable, streamlining reimbursements, and providing real-time insights into company spending.
Currently, Float Financial offers both virtual and physical cards in Canadian and American dollars.
It also delivers high-yield accounts, next-day fund transfers, and payments, positioning itself as a flexible alternative to traditional banking services.
The newly raised capital will enable Float Financial to further expand its product suite, recruit top talent, and solidify its leadership position in the Canadian market.
In addition, Float Financial secured a $50nm credit facility in February 2024, in partnership with Silicon Valley Bank (SVB), a division of First Citizens Bank.
Float Financial CEO Rob Khazzam said: “Our financial system needs to match the speed and ambition of Canadian businesses if we want to thrive locally and compete globally. Float’s mission is simple: cut through the red tape and give businesses the financial tools they need to move faster.
“To access more opportunities. And to do it all easily, with the click of a button.”
