Venn: Canadian Banking Startup Secures $15M in Series A

Venn, a Canadian business banking and expense management startup, has successfully raised US$15 million in a Series A funding round led by Left Lane Capital. The funding highlights strategic investments aimed at advancing Canada's financial technology industry, specifically targeting small to mid-sized businesses with international banking needs. The company, previously known as Vault, was established to simplify international transfers and provide multi-currency accounts, reducing the necessity for businesses to open accounts in each country they operate. Venn integrates with clients' accounting software to become a centralized financial control platform, offering innovative solutions such as invoice automation, corporate card with expense management, and accounting automation. This funding announcement follows a US$48.5 million investment in Float Financial and a C$6.4 million raise by Loop, underscoring significant investor interest in Canadian fintech startups. The co-CEO, Ahmed Shafik, highlights the current lag in Canadian banking innovation compared to the U.S., citing structural barriers and protectionism as factors limiting foreign fintech entry. The company has around 4,000 customers and generates revenue through various streams including interchange, foreign exchange fees, and subscription services. Venn's future plans include enabling credit card payment acceptance and potential expansion into lending.