Kroo nets £17.7m Series A funding to build new digital bank
London-based fintech Kroo has raised £17.7m in a Series A funding round led by Karlani Capital founder Rudy Karsan.
The start-up is looking to build and launch a “social bank” that helps users reduce anxiety around finances and champion social causes.
Formerly known as B-Social, the firm raised £7.8 million in seed funding last year ahead of its re-brand as Kroo. It has now raised around £29 million in total.
Kroo says it will use the funding to support its “mobilisation phase” and grow its team as it seeks to secure a full banking licence ahead of a planned launch in early 2022.
The fintech currently offers a prepaid debit card account featuring finance management tools so users can track their spending and create groups with friends to split and pay bills.
Once fully licenced, it hopes to be able to offer customers “a safe, secure and intuitively designed current account, FSCS deposit protection and loans at fair and competitive rates”.
The company teamed up with London-based digital banking provider Bugni Labs in May to drive its credit engine.
Kroo has also pledged to donate a percentage of profits to social causes, with CEO Andrea de Gottardo adding the bank will offer customers ways to “actively take part in making our world a better place”.
The firm has already launched a tree-planting referral scheme to offset carbon emissions, with the aim of planting 1 million trees.