Berlin-based Penta, a challenger bank for startups and businesses has raised a €2.2 million seed round one month after launching in Germany as its customer growth has gained pace. The funding round was led by Inception Capital, a FinTech focused VC based in the UK. Last week we mentioned Penta as one of 10 German startups to watch in 2018.
The fast-growing fintech startup is also announcing the end of its waitlist, which allows German businesses to open a business bank account with Penta today. Founded in 2016, Penta follows a community-focused approach, combined with a promise to make business banking easy and a bold brand.
The funding will be used for further hiring in order to support Penta’s growing customer base, to build out its service and to launch its marketplace of third party products like automated accounting, low-cost FX, and multiple MasterCards with limits and permissions.
Penta’s CEO and Cofounder Lav Odorovic stated: “Since our launch, we’ve received a fantastic endorsement for our proposition. It shows that Germany’s traditional banks are miserably failing to satisfy business owners and that our offering of a really easy to use business bank account is very attractive and useful.”
Penta’s unique selling point is that it provides a free bank account as well as a faster service to small businesses who lack the people to run admin tasks, like accounting or expense management of their businesses efficiently.
Odorovic added: “Startup founders and business owners waste so much time and money dealing with annoying admin tasks. That’s why we’re offering the tools that can help you get business banking done in a fraction of the time.”
Penta launched in December and allows business owners in Germany to sign up in just a few minutes, compared to several weeks at existing banks. The bank account is also free to use and Penta doesn’t charge any monthly fees. Within just a few days of opening an account, Penta customers receive their bright green business MasterCard in the mail.
“We’re giving businesses 10 free transactions per month. Every transaction after the 10th is €0.10 cents. Your Penta account will also come with our beautiful MasterCard for online and offline payments.” said Odorovic.