In a world where financial insecurity is rampant, you may be wondering how to make ends meet. The good news is that Branch, a fintech company, has announced a $75 million Series C to help employees get quicker access to their earned wages.
Through their accelerated workforce payments, Branch helps workers better manage their finances and plan for the future.
Introduction: Introducing Branch’s Series C Funding
Branch today announced that it had closed a $75 million Series C funding round led by GLI Finance Limited, a London-based fintech investment firm. The additional financing will enable Branch to accelerate its mission of equipping the world’s workforce with the tools they need to better manage their financial well-being and provides economic relief in uncertain times. Existing investors Matrix Partners, Stanford-StartX Fund, and Female Founders Fund also participated in the round.
Funding will be used to further capitalize on Branch’s proven product-market fit by providing instant and free access to wages, tips, bonuses, and other earned income so employees can more easily make ends meet while businesses benefit from improved operational efficiency. Businesses of all sizes across retail, hospitality, healthcare, and other industries now use one or more modules of the Branch’s platform to issue payments incrementally; automate the administrative process associated with payroll; and set up reimbursement accounts for business expenses such as supplies or travel costs all direct deposited into one secure account using instant pay instead of waiting for payday or incurring check processing costs.
Branch’s Mission: Helping Employees Make Ends Meet
The branch is committed to empowering employees and helping them make ends meet. Branch’s mission is to help companies better manage their payroll processes and accelerate employee wages, providing employees with the financial security they need when times are tough. With its latest $75 million Series C funding round, Branch plans to expand its operations globally and build out new products to better serve a larger number of employees in need.
At Branch, we understand that many people across the world face financial uncertainties due to the ongoing health pandemic. Employees are feeling the stress that comes with increased household expenses, changes in work schedules, kids learning from home, or other difficult circumstances. That is why we are expanding our services to further help employees alleviate financial burdens by lowering their wait for their paycheck through accelerated workforce payments technology.
By providing faster access to wages through flexible payment options, employers can give their employees greater control over managing money — saving them time and hassle while personifying their commitment to take care of their workers. Moreover, by working with banks and card networks like Visa Inc., customers have more immediate access and greater ease in using these funds however they need it — allowing them instant gratification while also making important investments into their own lives, such as buying groceries or paying bills on time.
At Branch, we recognize the importance of addressing employee needs during this unprecedented time — this is why we remain driven by a purpose-driven mission of helping return some measure of security to employees around the world through our accelerated workforce payments offering.
Benefits of Accelerated Workforce Payments
Access to faster payments can have far-reaching benefits that improve employee health, well-being, financial literacy, and financial optimization. Accelerated workforce payments are beneficial to employers since they:
1. Help employees make ends meet: Paying employees their wages on-demand greatly reduces the complications associated with traditional pay cycles and offers a degree of financial security for employees with variable hours or inconsistent pay.
2. Increase satisfaction and engagement: Having access to real-time payment options provides an added layer of convenience that furthers employee engagement and job satisfaction and increases job performance. This is especially beneficial for employers who rely on hourly workers as these types of payment solutions may reduce staff turnover and recruitment costs in the long term.
3. Promote sound financial management: Unlike other retail payment methods where charges accumulate quickly over time, instant payroll services help to increase effective budgeting by allowing employees access to their wages before their next payday rolls around. This is especially important when personal needs arise unexpectedly or when working in episodic capacities without a steady flow of income coming in Friday after Friday.
4. Develop smart spending habits: Latent overtime, wage advances, and on-the-spot bonuses are just a few of the many conveniences Branch has made possible with its accelerated workforce payments solution. Being able to give employees meaningfully personalized experiences helps them keep connected with finances while managing their day-to-day budgets more effectively than ever before and encouraging smart spending habits down the line.
How Branch’s Platform Works
Branch’s platform provides accelerated payroll, on-demand wages, and other financial wellness features to help employees make ends meet during times of financial distress. Branch’s technology is designed to provide employers with the security and transparency they need when offering additional payment options to their employees while still providing employees the flexibility and access they want, which are the core of Branch’s mission.
Using an intuitive mobile interface, employees can securely access earned wages for tasks already completed before their regular payday, eliminating wait time for paychecks or payment requests. Employees simply open the app and request a withdrawal from funds already earned, with money deposited directly into their account within minutes. Employers select from a range of withdrawal amounts, frequency schedules, or both—allowing employers to provide tailored payment plans depending on individual employee needs. All payments are tracked electronically, giving employers visibility into payroll expenses at all times.
In addition to accelerated payroll, Branch offers users an opportunity to build financial wellness through its financial management tools that enable customers to set budget goals and track expenses as part of daily workflows. Employers will also gain insights into their workforce’s financial health through these crowd-sourced data points and analytics tools.
Expansion Plans with Series C Funding
Branch, a leading provider of workforce payments, announced today that it had closed a $75 million Series C funding round led by Khosla Ventures. The investment will be used to further Branch’s mission to make accelerated workforce payments available to more employees, helping them make ends meet while they wait for their next paycheck. By improving financial access and security, Branch’s services enable employees to enjoy greater budget flexibility and more peace of mind in an increasingly shifting work environment.
The new capital will fuel the expansive growth of the Branch’s accelerated workforce payments services, including expanding international operations and deepening relationships with global banks and employers—all enabled by best-in-class security standards and fraud protection tools. The company is also increasing its engineering capabilities in order to grow its existing features as well as develop innovative products that help empower a diverse global workforce.
This latest round brings the total amount raised by Branch over the last two years to $180 million. As part of this new investment round, Khosla Ventures founder Vinod Khosla will join the company’s Board of Directors alongside existing investor Union Square Ventures Managing Partner Fred Wilson.
Partnerships and Integrations
Branch has teamed up with some of the world’s most innovative companies to help facilitate accelerated payments for workers across the U.S. By integrating into existing payroll and timekeeping systems; Branch provides businesses with a streamlined process to offer faster payments without the need for manual processing or additional systems. Branch has also partnered with financial institutions and major employers such as Walmart to increase financial security and make it easier for employees to get paid on time.
The company has formed strategic partnerships that create an ecosystem of connected users and organizations. As part of its Series C funding, Branch also announced a collaboration with Mastercard and unveiled a powerful new feature called Early Pay, making it possible to offer same-day payouts without needing manual operations or complex integrations. Additionally, the company will be partnering with leading payroll providers like ADP and Kronos, providing users access to more frequent payouts and enhanced financial security. By leveraging these integrations, users can expect streamlined access to their pay faster than ever before.
Testimonials from Businesses and Employees
Businesses that have taken advantage of Branch payment accelerations report receiving tremendous benefits from the ability to pay staff in real time, helping reduce debt and payroll costs. They also report improved staff retention, greater job satisfaction, and more satisfied customers. Employees also report better cash flow, financial security, and greater control over their own finances.
The accelerated workforce payments offered by Branch have helped employers across a variety of sectors: restaurants reported saving up to 90% on debt payment fees for new employees; retailers reported reducing payroll costs by up to 25%; and a hospitality group reported that its staff retention rate improved by 15%. Employees also reported feeling much more secure in their finances, with one worker saying they could finally afford an emergency fund when they had previously been struggling to make ends meet.
This recent $75 million Series C funding round will support Branch’s expansion into new regions as well as provide resources to further develop its innovative financial technology platform designed to help businesses and employees make smarter decisions about how they manage their money. The technology can be integrated into existing systems so companies can monitor employee incomes closely while empowering them with information regarding the best times of day or week when accelerated payments can be requested or made securely. Through its platform, Branch is helping individuals gain confidence in furthering their economic independence while companies are able to increase efficiency, improve customer loyalty and expand geographically.
Branch Closes $75 Million Series C to Expand Accelerated Workforce Payments
Branch’s Series C funding validates the company’s capabilities in providing accelerated workforce payments to workers, helping ensure that employees can pay bills and make ends meet. For companies looking to provide such assistance to their employees, Branch provides a simple, low-friction method of doing so.
This form of assistance will be more necessary as the pandemic continues to impact companies around the world. Branch brings companies closer to their employees with accelerated payments, reducing financial stress and allowing employers to offer a measure of economic stability despite uncertain economic times.
By securing $75 million with its Series C funding round, Branch is well positioned to expand its offerings and help more employees access immediate payment for earned wages creating common-sense financial solutions for employers and their workers.