Digital banking services company Spiral picked up a $14 million investment this week. The New York-based company will use the capital to fund its new app that makes it easy for users to donate to the charity of their choice.
“The future belongs to socially-conscious brands that care as much about giving back to society as they do about generating profits and growth,” Spiral CEO and co-founder Shawn Melamed said. He explained that the company’s goal is to create a new solution to serve an ecosystem of millions of charitable givers and more than one million non-profit businesses.
“People are increasingly supporting brands that align with their values,” Spiral President and co-founder Dan Blumenfeld added. “And they expect a simple and effortless user experience. Spiral will offer customers both a personalized banking experience and a deeper connection to the charities they support.”
Currently in beta, Spiral boasts that it offers account holders 15x more than the national average in savings and cash bonuses. No minimum balance is required and no fees are charged for active accounts or for transferring money by ACH. Spiral provides donation matching of up to $150 per year to more than one million charities and nonprofits ranging from the David Ortiz Children’s Foundation to the Cerebral Palsy Research Alliance Foundation. Automatic donation reports for tax returns are provided, and the company’s deposit accounts are issued by nbkc Bank of Overland, Kansas, and are FDIC-insured up to $250,000.
The funding round was led by Team8 and featured participation from Communitas Capital, Phoenix, Nidoco AB, and MTVO. Melamed and Blumenfeld founded Spiral after Melamed served as Managing Director of Morgan Stanley’s Technology Business Development and Innovation Offices and Blumenfeld served as Head of Product and Growth at Skype.