Accel backs Israeli fintech startup Unit with Series B cash

 Accel backs Israeli fintech startup Unit with Series B cash

Unit, a US and Israeli banking-as-a-service startup, has raised $51 million in a Series B funding round led by venture capital firm Accel.

A group of existing investors including Better Tomorrow Ventures, Aleph, Flourish Ventures, and TLV Partners also pitched in the funding round.

The startup, which is headquartered in New York and Tel Aviv, said it will use the money to grow its team and its suite of products.

Unit was founded at the end of 2019 by its Tel Aviv-based chief technology officer Doron Somech and the US-based chief executive officer Itai Damti. It came out of the stealth mode in December 2020 and had raised $18.6 million in previous rounds.

Along with the fresh fundraise, Unit announced the launch of Unit Go. This, Unit claims, is “the first-in-market solution that will allow companies to create live bank accounts and issue physical and virtual cards in minutes”.

Unit said that it has grown rapidly over the last three months, with deposit volume expanding by more than four-fold and new end users by seven times. It didn’t disclose the exact numbers.

“In just a few years the fintech landscape has radically expanded, with thousands of tech companies launching native fintech products in their verticals,” said Amit Kumar, partner at Accel. “Unit’s standout technology solution and strong emphasis on compliance is resonating with clients, and will power the next generation of fintech services.”

Aman Malik

The Capital Quest