Slideshow The biggest fintechs in the market

Published
  • January 23 2018, 8:48pm EST
11 Images Total

The experience of Social Finance, which announced a new CEO on Tuesday, shows how the biggest names in fintech, while generating massive financial support, still operate in a very volatile world.

Twitter executive Anthony Noto will have to demonstrate to Wall Street he can overhaul the firm's corporate culture, lay the groundwork for an IPO and determine whether to renew SoFi's pursuit of a bank charter.

Not every fintech is a magnet for sensational headlines. Counting down the top fintechs by valuation, partly based on research according to Forbes, the list includes several firms, such as Avant and Stripe, that have managed to attract funding, develop friendly partnerships with banks and mold successful business models.

10. Robinhood

Leadership: Baiju Bhatt (above left) and Vladimir Tenev (above right), co-founders and co-CEOs

Total funding (including debt and equity): $176 million

Valuation: $1.3 billion

Employees: 51-100

Industry ties: Few financial firms can count Snoop Dogg and Jared Leto as first-round investors. Robinhood has previously announced a partnership with the digital-only bank BankMobile.

Content Continues Below


9. Kabbage

Leadership: Rob Frohwein, co-founder and CEO; Kathryn Petralia (above) president and co-founder

Total funding (including debt and equity): $1.6 billion

Valuation: $1.2 billion

Employees: 400-500

Industry ties: The online small-business lending platform has attracted investment from Credit Suisse, Scotiabank, and the fintech investment arms of ING Bank and Santander Bank. It has a partnership with Utah-based Celtic Bank for its small business lending offerings. The fintech's lending platform technology is also licensed out to banks in Canada, South America and Europe.

8. AvidXchange

Leadership: Michael Praeger (above), co-founder and CEO

Total funding: $547.8 million

Valuation: $1.4 billion

Employees: 501-1,000

Industry ties: KeyCorp has an equity stake in the company and a board observer seat. In October, Fifth Third Bank partnered with the fintech and Mastercard to offer accounts payable and payment automation to its small and midsize business clients.

7. Zenefits

Leadership: Jay Fulcher, CEO; Laks Srini, founder

Total funding (including debt and equity): $583.6 million

Valuation: $2 billion

Employees: 501-1000

Industry ties: Once a Silicon Valley darling, then hobbled by controversies, Zenefits now focuses on human resources software. It maintains a number of payroll provider integrations. To process payments, Zenefits has partnered with Plaid. It also has a partnership with the accounting app Xero to allow clients to manage payroll.

Content Continues Below


6. Avant

Leadership: Al Goldstein, co-founder and CEO; Paul Zhang, co-founder and chief architect; Adam Hughes, president and chief operating officer (above)

Total funding: $1.8 billion

Valuation: $2 billion

Employees: 501-1000

Industry ties: The online lender can count some of the biggest names in banking as supporters. Credit Suisse, JPMorgan and Morgan Stanley have all invested in the startup. Regions Bank is also a partner in online loans. In 2016, it appointed former FDIC chief Sheila Bair to its board.

5. Oscar

Leadership: Joshua Kushner, co-founder; Mario Schlosser, co-founder & CEO (above)

Total funding: $727.5 million

Valuation: $2.7 billion

Employees: 251-500

Industry ties: Goldman Sachs is a key investor, as is Fidelity. Co-founder Joshua Kushner is the brother of senior White House adviser Jared Kushner. Though the startup has suffered post-Obamacare losses, it has pushed new strategies, including a partnership to offer health insurance through Humana. In January it signed a reinsurance agreement with AXA.

4. Credit Karma

Leadership: Kenneth Lin, founder and CEO

Total funding: $368 million

Valuation: $3.5 billion

Employees: 501-1000

Industry ties: The consumer credit reporting platform has multiple partnerships with banks as part of its lead-generation business model for loans and credit cards.

Content Continues Below


3. GreenSky

Leadership: David Zalik, CEO

Total funding (including debt and equity): $350 million

Valuation: $3.6 billion

Employees: 501-1000

Industry ties: Fifth Third Bank is one of GreenSky’s strategic partners and lead investors, having provided $50 million in funding to the commercial lending fintech. Since its launch in 2006, GreenSky has made numerous alliances — SunTrust, Synovus Bank, Regions Bank and Cross River Bank are among its 14 banking partners that provide loans through retailers and medical practices for a variety of personal needs, from home renovation projects to surgical procedures.

2. SoFi

Leadership: Tom Hutton, interim CEO; Anthony Noto, incoming CEO (above)

Total funding (including debt and equity): $2.2 billion

Valuation: $4.3 billion

Employees: 501-1000

Industry ties: Since its launch in 2011, the education lender’s bank investors include Morgan Stanley, East West Bank and The Bancorp. In addition to raising millions in credit lines from banks, Social Finance also sells student loans it originates back to banks. SoFi acquired the mobile banking app Zenbanx last February but shut it down six months later. Though it withdrew its banking charter application, the company is expected to start offering SoFi Money, an account offered in conjunction with WSFS Financial in Delaware.

1. Stripe

Leadership: Co-founders John Collison (above) and Patrick Collison

Total funding: $440 million

Valuation: $9.2 billion

Employees: 501-1000

Industry ties: Positioned as a challenger to PayPal, Stripe enjoys the financial and business support of multiple banking allies, including American Express, Visa and Silicon Valley Bank. Since launching in 2010, the online payments firm has expanded globally, including by adding support for Alipay and WeChat Pay. In November, Stripe invested in the U.K. mobile bank Monzo.