Arc, a full-service finance platform for software startups, has partnered with payment technology company Stripe to launch Arc Treasury, a digitally native and vertically integrated deposit account.
Arc Treasury is said to combine the flexibility of an API-driven solution with the native functionality of a consumer app. The new cash management offering helps in providing all the financial services required by startups without the downsides of legacy financial institutions, said Arc.
Stripe banking-as-a-service product head Denise Ho said: “We know all too well the challenges startups face when it comes to funding. That’s why we’re excited to support Arc as they build new and innovative financial offerings with Stripe’s Banking-as-a-Service APIs.
“Arc Treasury is a great example of the kind of innovation today’s high-performing startups need.”
With the new personalised cash management account, startups can tap into their future revenue streams seamlessly for accessing non-dilutive capital, depositing the funds, and deploying spend instantly to drive growth, all through a fully integrated digital platform.
According to Arc, Arc Treasury grows its suite of full-service financial tools, which include Arc Advance that lets founders in converting their future revenue into upfront capital. Another financial tool is Arc Runway, which is designed to help startups in analysing their net cash burn and deploy their capital efficiently for maximising their runway.
Arc co-founder and CEO Don Muir said: “With the launch of Arc Treasury, startups can now instantly borrow, save, and spend all in one comprehensive digitally native platform.
“This innovation underscores Arc’s and Stripe’s joint commitment to solve the unique challenges of high growth software startups.
“Arc Treasury is another extension of our mission to help startups grow and compete in today’s constantly evolving environment.”
Launched in 2021, Arc has built a machine learning-enhanced underwriting technology that is said to provide startups up to $300m in funding in less than 48 hours. The company taps into the future recurring revenue of startups for financing their operating expenses.
