Brex files application for Industrial Bank Charter with FDIC and UDFI

By Pavithra R

Brex has submitted an application with the Federal Deposit Insurance Corporation (FDIC) and the Utah Department of Financial Institutions (UDFI) to establish Brex Bank, an industrial bank to be located in Draper, Utah.

Brex, since its inception, has focused on reimagining business financial services, combining payment products with best in class financial software. The company, in doing so, has become the operating system for many businesses while saving them time and money. As proposed, Brex Bank will expand upon its existing suite of financial products and business software, offering credit solutions and FDIC insured deposit products to small and medium-sized businesses (SMBs).

The firm has also announced the hiring of Bruce Wallace as the proposed CEO of Brex Bank. Previously, Wallace served as Chief Operations Officer, Chief Digital Officer and Head of Global Services of Silicon Valley Bank (SVB). He is joining the firm with over three decades of experience in the financial services industry. Wallace has worked closely with the SMB community and helped many companies grow and expand. Additionally, the company also announced Jean Perschon, the former CFO for UBS Bank USA, to become the CFO of Brex Bank. He holds more than 25 years of banking experience. 

“Brex and Brex Bank will work in tandem to help SMBs grow to realize their full potential. We thank the FDIC and UDFI for their efforts and guidance in this process and look forward to the next steps,” said Wallace. 

Founded in 2017 by Henrique Dubugras and Pedro Franceschi, Brex is reimagining financial systems so every growing company can realize their full potential. The FinTech is backed by the co-founders of PayPal (Max Levchin and Peter Thiel), Y Combinator, Ribbit Capital, Yuri Milner, and Carl Pascarella (former CEO of Visa).