Smarterly, a London-based fintech startup that allows employees to invest and save directly through their payroll, has raised £7 million to expand the business through the UK. The round was led by family office Major Oak, which invested £5 million; existing angels and crowdfunders chipped in the rest.
Individual Savings Accounts (ISA) let British citizens earn interest without paying any income tax. Using Smarterly, employees can have a bit of income deducted from their paycheck each month and put directly in their ISA. With monthly minimums at just £10, Smarterly says its system makes investing accessible to a much broader range of workers. Personalised portfolios make it easy to understand what’s happening with the investment, too.
Founded in 2014, the company now works with more than 100 UK employers to serve over 80,000 customers with £230 million assets under management. Part of the fresh funding helped finish off an acquisition of Salvus Major Trust, which was announced last month. The rest will go to product development and market expansion.