The UK-based fintech, which started out in Estonia, is offering a current account service and would grow into a £ 1 billion company with the £ 100 million round of investment they are currently completing, the Financial Times recently wrote.
Norris Koppel, the CEO of Monese, couldn't yet comment on the fundraising, but admitted that an investment round is due and with this round they will raise enough money to become profitable. "Despite the rapid growth, we plan to make a profit in 2021 and after that we should further not need venture capital," Koppel told Äripäev.
Koppel is raising capital to support the rapid international growth of Monese and to broaden the service package: for example, launching savings accounts and various credit products on their main growth markets in cooperation with banks. "The goal is to offer our customers better and more affordable choices than what local banks alone can offer them," he said.
Looking for more than just capital
Koppel noted that they are looking for more than just capital. "We are interested in the investors’ experience in international finance sector as well as their ability to provide an international network to help us reach our ambitious goals. We need smart investors with international grasp who share our vision and become our strategic partners,“ he said. According to Koppel no specific names of investors can yet be confirmed.
A strong leader in Europe
According to Koppel, over recent years Monese has secured a strong position among the world's leading and fastest growing mobile banking providers. "In Europe, we are a strong leader among the payroll account service providers in terms of active customers using Monese as their primary payroll account on a daily basis. Over 70% of the incomings on Monese’s accounts are payroll."
Koppel said Monese is facilitating people’s daily lives, despite Brexit and national borders. "Unlike many conventional banks, we do not impose any new restrictions, and the availability as well as price remain the same."
Monese is a mobile banking app that allows people who settle in a new country to set up a payment account in three minutes.
In the fall of 2018 Monese raised $ 60 million.
In 2018 the group reported a loss of £ 12.7 million with a turnover of £ 5.5 million. Strong growth in customer base has been the main motivation for investing in the company.
Monese has a unit with 175 employees in Estonia.