London-based Fintech company Vitt has introduced Vitt Treasury, a solution designed to assist startups in diversifying and earning returns on their idle cash. Serving as a one-stop cash management solution for startups, Vitt’s new product is built on top of Money Market Fund products, enabling customers to earn up to 5.07% on their idle cash. The assets are securely held by an FCA-regulated custodian, ensuring the safety of the assets through an established third party.
Addressing Founder Concerns
In light of recent financial restructuring news, such as Metro Bank’s challenges, Vitt aims to address concerns of founders who are reevaluating where they keep their cash reserves. Saket Kumar, CEO of Vitt, emphasized the importance of founders focusing on growing their company value rather than micromanaging financial decisions. Vitt Treasury provides a solution that allows startups to optimize their cash reserves with minimal effort.
While treasury solutions are commonly available for established companies, startups with raised capital often miss out on potential interest earnings that could be channeled into driving growth, extending runways, and expanding teams. Vitt Treasury aims to bridge this gap by offering startups a straightforward solution that helps them make the most of their financial resources.
Quick and Simple Application Process
Applying for a Vitt Treasury account is designed to be a quick and straightforward process, taking under 15 minutes. The goal is to provide startups with an efficient way to put their idle cash to work and earn meaningful returns without significant time investment.
Vitt has experienced robust growth, with over 15% week-on-week growth for the past three months. The company, operational for two years, has also secured additional funding, bringing its total funding to $16 million across both debt and equity. The funding round was co-led by existing investors Better Tomorrow and Speedinvest, with support from notable business angels.
Positive Feedback from Startups
Startups such as nPlan, which raised $18.5 million from GV in 2021, have embraced Vitt Treasury. Dev Amratia, CEO of nPlan, highlighted the benefits, stating, “Vitt’s Treasury product was a no-brainer for us – putting our cash to work with an institution I know while earning enough cash to extend runway meaningfully just made sense.”
The additional funding will support the scaling of Vitt Treasury across the UK. Saket Kumar noted, “Given the market appetite, existing investors were excited to double-down, and we selectively added value-add angels such as Max [Founder of N26].” Vitt aims to serve founders across their journey, offering a valuable solution to optimize cash management and support their financial objectives.
Industry Support and Recognition
The launch of Vitt Treasury comes at a time when financial prudence and optimization are top priorities for startups. Industry figures, including Olga Shikhantsova, Partner at Speedinvest, expressed enthusiasm for Vitt’s product, stating, “With the collapse of SVB, Vitt has launched a product with a clear why now that sets itself apart from incumbents.”
As Vitt continues to enhance its offerings and support startups in their financial journey, the Fintech company aims to play a crucial role in helping founders maximize the potential of their cash reserves.