It’s just been a few months because Lili announced its $10 million seed round, and it’s currently raised more financing– specifically, a $15 million Series A.
The start-up, established by CEO Lilac Bar David and CTO Liran Zelkha, is creating a checking account and associated items designed for freelancers, with functions like early access to direct deposit payments and the capability to set aside a percentage of earnings for taxes.
The account (and associated Visa debit card) is devoid of overdraft costs or minimum balance requirements; Bar David said the company only generates income from card processing charges.
She also said that the platform has seen rapid growth this year, with transactions up 700% considering that the start of the pandemic and almost 100,000 accounts opened since the launch in 2019.
Bar David recommended that the economic chaos brought on by COVID-19 has actually prompted (or required) more skilled employees– such as programmers and digital online marketers– to rely on freelancing. She’s also seen “a big shift from part-time freelance to full-time freelance.”
Lili CEO Lilac Bar David Bar David forecasted that the recent growth of the freelance economy will not merely disappear as soon as the pandemic is over, due to the fact that employees are finding the benefits of freelancing.
“If you have a 9-to-5 task, you depend on one employer,” she said. “If something happens you’re out of a task … If you have actually got a diversified client base, you’re not based on simply one source of income.”
In current months, Lili has included new features like instantly produced quarterly income and expenditure reports, a digital debit card (which customers can use before the physical card arrives in the mail) and the ability to get and send cash through Google Pay (Lili already supported Money App and Venmo).
Bar David said the startup chose to raise more funding to expand its engineering team and further accelerate its development. Apparently she was getting ready for a standard Series A fundraising procedure (albeit one that was carried out in the middle of a pandemic), but “our present investors were so enormously impressed by the product-market fit and the development” that they wanted to money practically all of the brand-new round.
So the Series A was led by previous investor Group 11, with participation from Foundation Capital, AltaIR Capital, Primary Venture Partners and Torch Capital– along with brand-new backer Zeev Ventures.
“As the worldwide labor force progresses at a quick speed, we are thrilled to lead another round of funding to help Lili profit from extraordinary need and offer a totally brand-new solution to help freelancers effortlessly conserve money and time,” stated Group 11’s Dovi Frances in a declaration.
Article curated by RJ Shara from Source. RJ Shara is a Bay Area Radio Host (Radio Jockey) who talks about the startup ecosystem – entrepreneurs, investments, policies and more on her show The Silicon Dreams. The show streams on Radio Zindagi 1170AM on Mondays from 3.30 PM to 4 PM.