Aspiration, the financial firm with a conscience, today announced it has raised a $47 million Series B funding round.
The funds are earmarked for customer growth and product development.
The round, which brings Aspiration’s total funding to $67 million, was led by Social Impact Finance, along with new and existing investors including Allen and Company, Omidyar Network, Alpha Edison, AGO Partners, Reyl & Cie, and Capricorn Investments. Individual investors include award-winning actor Orlando Bloom, Los Angeles Clippers coach “Doc” Rivers, former Citigroup chief operations and technology officer Deborah Hopkins, Bad Robot president Brian Weinstein and Rustic Canyon Partners founding partner Tom Unterman.
Aspiration offers banking, investing and retirement products that help people improve their own financial situations while making a positive difference in the world. Their customers currently transact more than $2 billion a year on the Aspiration platform and save more than $100 million in bank fees.
Aspiration’s “Pay What Is Fair” business model that trusts customers to choose the fee they pay, even if it is zero. The vast majority of Aspiration customers choose to pay a fee, even though they are not obligated to – a testament to the honourable nature of most Americans and the value that Aspiration customers see in its products. Aspiration donates 10 per cent of its earnings to charitable microloans and mentoring for low-income Americans.
“We had our fair share of doubters when we first started Aspiration, but we’ve shown that profit and purpose can go hand-in-hand,” said Andrei Cherny, CEO of Aspiration.
“Aspiration is growing fast because we have found innovative ways to put both our customers’ interests and their values first. I’m so excited about our ability to do so for many more people in many more ways in the months and years ahead.”
Aspiration’s high interest, no-fee banking account was named the “Best Checking Account in America” by Money magazine. Earlier this year, the company launched a new Aspiration Impact Measurement (AIM) feature of its mobile banking app that allows customers to see their own personal Sustainability Scores and choose where they spend based on businesses’ impact on people and the planet.
The company partners with the Sierra Club and offers a 100 per cent fossil fuel-free and firearm-free sustainable investment strategy available at a minimum investment of $100. By investing sustainably with Aspiration instead of the S&P 500, Aspiration customers have reduced greenhouse gas emissions by the equivalent of three million fewer miles driven by American cars.