Brightside is accelerating plans to help employers provide financial care to employees with $33 million in Series B funding

Brightside is accelerating plans to help employers provide financial care to employees with $33 million in Series B funding

The bright side, the leading financial care platform for employers, today announced it has raised $33 million in Series B funding. The round was led by Obvious Ventures, with participation from existing investors Andreessen Horowitz (a16z) and Trinity Ventures, as well as Clocktower Technology Ventures and Chestnut Street Ventures. Bringing the company’s total funding to over $75 million, this investment will support Brightside’s continued rapid growth and platform enhancements, including additional AI-driven capabilities to further enhance its experience. top notch product.

Seven out of 10 Americans live paycheck to paycheck. In addition to the profound effects it has on individuals and their families, the financial health of employees has a significant and proven impact on business performance. In fact, research has shown that financial stress impacts everything from mental and physical health to retention and productivity at work: according to a recent study2financially challenged employees are twice as likely to seek employment elsewhere, and 76% say financial worries have negatively impacted their productivity, ultimately affecting employer performance in key areas.

Brightside’s mission is to help employers improve the financial health of their workforce, thereby improving employee productivity and well-being, and supporting short- and long-term business growth. By providing a one-stop destination for employees and their families to meet any personal financial need with unbiased, individualized, and practical support, Brightside is transforming the financial future for the historically underserved majority of Americans. Currently supporting more than 300,000 families, Brightside serves major Fortune 500 employers with frontline workers in industries including manufacturing, distribution and healthcare. Households working with Brightside save about $1,200 per year, on average, and employers see an 80% reduction in non-401(k) contributors. Employees who engage with Brightside also reduce their credit card debt three times more than their non-engaged colleagues, see a 34% improvement in subprime credit scores, and quit their jobs 41% less than those who don’t. don’t use the advantage.

“Traditional ‘financial wellness’ solutions have long fallen short of the frontline worker,” said Tom Spann, CEO and co-founder of Brightside. “Most employees aren’t looking for financial plans or budgeting products, and they don’t want a financial planner telling them they’re wrong. They want to know what to do now when they need it. Real problems are more than arithmetic – they’re about real life and require practical, personalized solutions from real people powered by sophisticated rule engines. At Brightside, we’ve added emergency financial care and care Welfare Fundraisers to meet people where they are in order to measurably improve the financial health of working families. With this funding, we will be able to expand our offer to more employers and families, which we desperately need in this time of inflation and economic uncertainty.

Leveraging behavioral science and proprietary financial models, Brightside combines a human approach to financial health – via dedicated financial assistants – with a technology platform to provide real solutions to alleviate financial stress for employees. Brightside responds to urgent financial needs by finding community and government assistance programs, arranging payment plans, discussing debt consolidation options, creating savings plans, and providing other practical supports and tools. and substantial ones that meet everyday Americans where they are to help them get out of the stressful cycle. from living wage to paycheck.

“Employee access to meaningful financial solutions and support is more important than ever, and Brightside is leading the charge to make a real difference, especially among underserved populations,” said Vishal Vasishth, co-founder and CEO of Obvious Ventures. “We are excited about this partnership and what lies ahead for Brightside as the company continues to scale up growth and build a new gateway to financial services for working families.”

Brightside grew revenue in 2021 by around 800% last year and is on track to grow nearly 10x in 2022. The company’s headcount has grown over 150% this year to over of 175 team members, and the company plans to hire 200 additional employees in the coming year.

Previous Bay Street Virtual Holiday Silent Auction returns
Next Arthouse online auction returns to raise vital funds for Outhouse • GCN