Australian business banking start-up Zeller has secured a $50 million AUD investment led by US-based venture capital heavyweights Spark Capital.
The fundraising round was closed in the week prior to Zeller’s May 4 launch and included additional funding from existing partners Square Peg, Apex Capital Partners and Addition.
The firm raised $81 million AUD in the 12 months leading up to its launch, making it Australia’s most valuable pre-launch start-up.
The funding will be used to accelerate the development of its business banking platform and to further its expansion across Australia.
Zeller claims over 1,500 businesses have already signed up to the platform in its first month.
“Over 80 percent of merchants who have signed up for Zeller had an existing business banking relationship with an incumbent,” says Ben Pfisterer, Zeller CEO and co-founder.
“The fact we’re seeing so many established businesses switching to Zeller from the banks motivates us to double-down on our efforts to build more business banking products that serve the needs of growing businesses.”
James Kuklinski of Spark Capital adds: “Australia’s business banking landscape is dominated by a small group of incumbents, and is ripe for disruption through simpler, more transparent pricing, best-in-class technology, and better customer service.
“The Zeller team brings decades of collective experience in payments, technology and finance, and we are excited to join them in levelling the playing field for business owners through access to smarter business banking solutions.”
Spark Capital has previously invested in tech giants such as Twitter, Slack, Oculus and Coinbase.