Aiming to equip employees with better financial wellbeing, planning and peace of mind, Dutch startup Equip has raised €2 million. The pre-seed funding will be used to develop the startup’s platform and fuel expansion plans.
Economic conditions have been tough in recent times. From rising inflation and cost-of-living crises to increasingly complex financial systems and global financial uncertainty, households and employees across Europe have been hit with financial stress and concern.
Financial uncertainty comes with a great deal of stress, which in turn impacts employee satisfaction, wellbeing and productivity. When faced with financial stress, employees are more likely to switch jobs and it can also lead to an increase of paid sick leave. It’s reported that financial stress results in a weekly loss of three hours of productivity per employee, and higher rates of sick leave. For employers, this makes for a total of hidden costs equal to at least €5,000 per employee per year.
Dutch startup Equip wants to change this outlook. The company has developed a platform that seeks to improve employee financial wellbeing, giving teams more stability.
Equip has now raised €2 million in a pre-seed funding round led by XO Ventures. The round also included participation from Antler and twelve angels with backgrounds in technology and the financial sector.
For the working population, having a job is the primary source of financial stability. It provides salary, additional benefits, and professional development. However, 82% of employees indicate they want additional support from their employer to obtain more financial security. Although the current high inflation rates have created more understanding among HR professionals and executive leadership for financial uncertainty, the existing solutions are inadequate.
Founded by Toon Peek, Jan Klinkhamer and Jan Cees van Senden, Equip offers a financial planning platform that aims to provide more stability and reassurance for employees. The platform helps employees create and follow a personal financial plan to reach their life goals, supported by personalized suggestions on what to do, the advice of financial experts and educational content.
Toon Peek, co-founder of Equip: “Supporting financial well-being is the next big frontier for employers towards more satisfied, productive, and loyal employees. In the current economic climate, this support is no longer a “nice-to-have”, but a “need-to-have. Our mission is simple: we want every employee to experience financial peace of mind, regardless of their income and wealth. Accomplishing this goal not only results in a positive effect on the bottom line of employers; together we’re also creating a positive impact on society.”
The solution offers a comprehensive set of financial planning tools to gain complete insight in their current and future financial situation. Advanced algorithms calculate what financial aspects individuals need to pay attention to and suggest direct actions to improve their current situation and achieve their future financial goals. In all activities on the platform and suggestions, employees are supported by simple-to-use digital tools and explanations of the ‘whys’ and ‘hows’. Equip also gives employees direct access to certified and independent financial planners and coaches, whom they can contact as often as they wish, alongside educational content.
Since its 2022 launch in the Dutch market, Equip has been picked up by companies like War Child, Ticketswap, and Rituals. Now, with this new funding, the plan is to grow. The company’s aim is to become the leading platform for improving the financial wellbeing of employees in Europe within five years.