The Long Road of Capitalization: The Griffin Story
Founded in 2017 by David Jarvis, an early engineer at API banking startup Standard Treasury, and Allen Rohner, co-founder of developer tools company CircleCI, Griffin set out with a lofty goal: to revolutionize the banking industry by providing a fully regulated banking platform designed specifically for fintech companies.
The journey began modestly with a pre-seed round of £165,231 (USD $228,500) on April 29, 2018, signaling the market’s initial confidence in Griffin’s vision. However, it was the subsequent seed round of £3M (USD $3.9M) on February 3, 2020, that marked a pivotal moment for the company. Supported by leading venture capital firms Seedcamp and Tribe Capital, alongside angel investors like the founders of Indeed.com, this funding round demonstrated investors’ confidence in Griffin’s potential to disrupt the banking sector.
Griffin’s value proposition is its unique API banking platform, developed to address the significant difficulties non-bank financial services companies encounter in finding banking partners. By offering bank accounts and payment services with an emphasis on client money and safeguarded accounts, Griffin aims to simplify and expedite the process for businesses to launch financial products. The company’s application for a bank license with the UK’s Prudential Regulation Authority (PRA) and Financial Conduct Authority (FCA) further underscores its commitment to regulatory compliance and innovation.
As Griffin developed, it continued to draw significant investment, including a USD $13.5 million Series A funding round in June 2023, which MassMutual Ventures led. This round of funding was earmarked to support Griffin’s transition from the ‘mobilization’ phase to becoming a fully-licensed bank, a significant milestone that would enable it to offer a comprehensive suite of banking services to fintechs and brands seeking to embed finance into their offerings.
The company’s strategic hires, such as Anika Zubair as Head of Customer Success and Craig Wilson as Head of Enterprise Risk, highlight its focus on building a robust management team capable of steering Griffin through its next growth phase. These appointments are critical as Griffin seeks to solidify its position as a global platform for embedded finance, delivering an unparalleled banking experience to its customers.
In a landmark achievement, Griffin secured a full banking license in March 2024, a testament to its innovative approach and the trust it has built within the regulatory community and the market at large. This licensing allows Griffin to launch as a fully operational bank and also distinguishes it from other fintechs by enabling it to offer a true banking-as-a-service (BaaS) model. With a total funding of around USD $52 million since its founding, Griffin’s journey from a bold idea to a fully licensed bank illustrates the power of vision combined with strategic execution.
Griffin’s founders, Jarvis and Rohner, have leveraged their technology backgrounds to address the inefficiencies and complexities of traditional banking. By focusing on technology as a cornerstone of their strategy, they have positioned Griffin to lead the charge in the era of embedded finance, where financial services are seamlessly integrated into non-financial platforms, enhancing customer experiences and creating new revenue streams for businesses across sectors.
The fintech landscape is watching Griffin closely. The company’s journey from a pre-seed round to achieving full banking license exemplifies the long road to capitalization and the objectives achieved along the way.
