KOHO raises $70 mn in Seriec C funding to scale better banking for Canadians

By Pavithra R

Toronto-based FinTech startup KOHO, offering Canadians an alternative to their traditional banking experience, has announced closing a $70 mn oversubscribed Series C funding round.

New investor TTV Capital led the investment round, with renewed commitments from existing investors Drive Capital and Portag3 Ventures. Both Portag3 and Drive have been critical advisors to KOHO, and their additional investments prove confidence in the company’s growth and upward trajectory.

“The landscape of financial services is changing rapidly in the digital age. As a result, individuals need a more modern banking product. KOHO’s customer focused team has built a low cost, simple to use digital app that provides today’s sophisticated financial consumer with the solution they deserve,” said Gardiner Garrard, Co-founder and Managing Partner of TTV Capital.

KOHO is planning to use the finance to continue its mission to change the traditional banking landscape and normalize accessible, simplified and transparent banking services for everyone. Since it’s Series B extension round at the beginning of 2019, the firm has nearly doubled its customer base, and its team has doubled in size to over 150 employees. Notable new additions include a new CMO, Alexandru Otrezov, a new CTO, Jonathan Klein, and a new CFO, Felix Wu.

“We’re thrilled to welcome these outstanding new partners and to have our existing investors double down on KOHO. Their support will fuel our next phase of growth as we build our client base and further expand our services. 2020 was a challenging year for most and has only accelerated our conviction that KOHO can help Canadians,” said KOHO CEO Daniel Eberhard.

Founded in 2014, KOHO is a full-service chequing account that comes with a reloadable prepaid Visa card and integrated app. The FinTech, through its app and a reloadable card, offers Canadians a new approach to spending and saving. It takes no monthly fees, no interest charges, no e-Transfer fees, and no NSF fees. Recently, KOHO launched KOHO Save.