After 15 years of bootstrapping, Finder raises $30 million to capitalise on ‘Web 3’
The funding gives Finder a valuation of $650 million, as the startup gets ahead of the global ‘internet revolution’.
After bootstrapping for 15 years, Aussie fintech Finder has raised $30 million in funding, as it gears up to take advantage of ‘Web 3’ and the internet revolution.
The funding, from Future Now Capital, gives Finder a valuation of $650 million.
That’s up from an estimated $300 million in November last year, when the three co-founders appeared on the AFR’s Young Rich List.
Founded in 2006, Finder’s website offers comparison services for financial services, spanning everything from insurance to insurance and mobile plans to car and home loans.
The site is available in more than 50 countries, and sees 10 million visits per month.
In 2020, Finder launched its app in Australia. Now it’s taking that global too, with plans to roll out in the US, the UK and Asia.
Bootstrapping is always going to be part of Finder’s culture and its DNA, Finder co-founder Jeremy Cabral tells SmartCompany. However the raise allows the team to take advantage of today’s market, in order to hit and exceed the startup’s growth goals.
“The internet is going through another incredible revolution of ‘Web 3’,” he says.
“There’s a window of opportunity right now.”
Finder has positioned itself as a business that understands that megatrend, and this investment puts it in the best position to cater to new-world consumers, he adds.
Finder’s ‘Web 3’ crypto play
The funding follows the announcement just weeks ago that Finder is launching a cryptocurrency offering, selling a stablecoin product.
Finder Earn allows consumers to invest money, earning 4.01% interest annually. Interest is paid by the day, head of consumer research Graham Cooke tells SmartCompany, and individuals can withdraw their funds at any time.
Funds invested are essentially a loan to Finder, Cooke explains. The cash will be used to fuel various investments, including crypto.
At a time when interest rates remain stubbornly low, people are looking for new ways to make their capital work for them. This offers “a bridge” for people interested in getting involved in crypto without the volatility, Cooke says.
Indeed interest in crypto is ramping up. Commonwealth Bank has added crypto trading capabilities to its banking app, and crypto.com has launched its Visa card in Australia.
Just this week Treasurer Josh Frydenberg announced an overhaul of payments regulation, with a focus on cryptocurrency.
“It definitely feels like crypto is burgeoning,” Cooke says.
Finder building on consumer trust
For Finder, all of this plays into the changing nature of the internet, and the changing demands of those using it, Cabral says.
The COVID-19 pandemic has fast-tracked the fintech trend in general. More people are participating in retail trading through apps like Robinhood or Aussie platforms Superhero, Spaceship and Stake, and more people are investing in crypto.
These are trends the Finder team saw coming, Cabral says, and the startup is adapting accordingly.
“We’ve focused a lot on helping people save money. Now the goal is really to help them invest and make money.”
Over 15 years Finder has built up a level of trust with consumers, he adds. That puts it in good stead to support people with their investing goals too.
“There’s only more in the roadmap.”
