Flex, a US-based AI-powered fintech platform, has raised $70 million in a funding round that values the three-year-old startup at around $1.2 billion, according to a person close to the deal, as per a recent Reuters report. The B1 round was led by Halo Fund, a venture firm co-founded by Utah Jazz owner Ryan Smith and Accel partner Ryan Sweeney.
CEO Zaid Rahman told Reuters the company targets mid-sized businesses, which he calls “jumbo shrimps,” a segment earning tens to hundreds of millions in revenue that he says is underserved by traditional fintechs. As per Reuters, Flex bundles private credit, business finance, personal finance, and payment tools into a single platform, offering AI agents such as Beacon AI that provide weekly financial overviews.
The startup has now raised $180 million in equity and $300 million in debt, adds Reuters. It reports a few thousand customers and roughly four-fold year-over-year growth at a nine-figure annualised revenue run rate. With the fresh capital, Flex plans to expand globally, increase marketing, and more than double its headcount to over 200 by the end of the year.
The company also launched Flex Global on Tuesday, a service that uses stablecoins to move money across more than 100 countries in minutes and lets businesses hold 32 currencies. Returning investors Portage Ventures and Crosslink Capital also participated in the round.