November 8, 2021
Float Inc., a Toronto start-up offering no personal guarantee corporate cards and spending management solutions, has secured $37 million CAD in its Series A round of financing just six months after securing its seed round. As reported by BetaKit, United-states based investor Tiger Global led Float’s Series A round, with additional participation from existing investors.
Float’s Visa-issued cards connect directly to a company bank account, avoiding the need for personal guarantees from company leaders. Its spending management software allows businesses to seamlessly pre-approve credit card expenses, notify employees about missing receipts, and set specific spending limits per employee, with the ultimate goal being to help companies close their books faster.
“I’m crazy impressed with the amount of software and financial services they’ve built in a relatively short period of time with a small team,” said Wave co-founder Kirk Simpson, an investor in Float’s Series A round. “It’s just remarkable how many different use cases [there are for its software]. It’s one thing to have built the financial services element of it within this time, but not only have they done that, but they’ve wrapped it with pretty powerful software.”
While Float is not the only company trying to address the nuisances of corporate spending, Float’s investors do not seem too concerned by its competitors. Hubdoc co-founder Jamie McDonald noted his confidence in CEO Rob Khazzam (previous GM of Uber Canada), explaining “It will be winner takes most market based on brand, and everyone will just select what their friends are using. Given Rob’s Uber history and the ability to quickly scale, [Float is] in a decent position to run the table on the Canadian market in the next year.”
By: Samara Friszman