Toronto-based corporate card and expense management technology startup Float has successfully secured a $70-million CAD Series B funding round, marking a pivotal milestone in the company’s growth trajectory. This round, which was all-equity, was led by the growth equity arm of Goldman Sachs, a major player in the financial industry, with additional participation from prominent investors including OMERS Ventures, FJ Labs, Teralys, and return investor Garage Capital. These investors bring a wealth of expertise and financial support, demonstrating their strong confidence in Float’s vision and potential. As a result of this funding, Clare Greenan, a vice-president with Goldman Sachs Growth Equity, will join Float’s board of directors, bringing with her invaluable insights that could propel the company toward even greater success.
Float’s CEO and co-founder, Rob Khazzam, expressed excitement about the round, sharing that while there was a “minor” secondary capital component to the round, the company opted not to disclose the exact split between primary and secondary capital. With this Series B round, Float has now raised a total of $124 million CAD in external equity funding, underscoring the trust investors have in Float’s business model and its future prospects in the highly competitive corporate finance space.
In a statement reflecting on Float’s long-term vision, Khazzam emphasized the company’s commitment to disrupting the traditional financial services sector. “We have to stop resting on the laurels of legacy institutions that no longer serve everyone,” Khazzam asserted, suggesting that Float is determined to fill a gap in the market left by outdated financial institutions. His statement highlights Float’s focus on creating a more modern, flexible, and efficient alternative for businesses to manage their corporate finances, positioning the company to reshape how businesses access and manage financial tools.
The new capital infusion will be strategically deployed to bolster Float’s product suite, attract top talent to enhance its operations, and further strengthen its leadership in the Canadian market. Float’s plans for the next stage of growth involve expanding its financial services beyond its flagship high-yield account product and continuing to deepen its spending management solutions. Khazzam shared that the company is poised to offer a broader range of financial services tailored to the unique needs of small and mid-market businesses across Canada, making it an even more integral partner for these companies as they navigate the complexities of managing business finances.
Float’s product offering, which includes corporate cards, expense management tools, and high-yield accounts, has already gained traction with businesses across various industries. The company’s simple, transparent, and user-friendly platform has helped countless businesses streamline their financial operations, manage corporate spending more effectively, and improve overall financial control. With the latest round of funding, Float will be able to accelerate the development of additional products and services, enhancing its value proposition to clients. The company’s ultimate vision is to establish itself as a comprehensive financial-services partner for Canadian small and medium-sized enterprises (SMEs), providing these businesses with the tools and resources they need to grow and succeed.
This investment round positions Float to scale its operations and continue expanding its presence in the financial technology space. With a clear focus on customer-centric financial solutions and an unwavering commitment to modernizing the financial services landscape, Float is poised to play a leading role in shaping the future of financial management for Canadian businesses. As more SMEs look for efficient, flexible, and cost-effective alternatives to traditional banking, Float’s continued innovation and customer-first approach will likely position it as a dominant player in the corporate finance market for years to come.