Embedded credit card platform Cardless raises $30 million

Cardless has experienced 10x revenue growth since the start of 2023 creating co-branded credit cards for leading brands, with direct integration to all three of the largest card networks - Visa, Mastercard, and American Express.

“Over the last 12 months we’ve been able to design products for some of the best brands in the world, including Qatar Airways and Alibaba,” said Michael Spelfogel, co-founder and president of Cardless. "These brands chose us because of our differentiated approach to the entire co-brand experience. From embedded servicing to leveraging a brand’s data for personalized sign-up offers, Cardless delivers an experience that legacy banks and other fintechs cannot match. We’ll use this funding to further build out a world-class team, enabling us to scale both new and existing programmes.”

He says cardholder numbers have doubled in the last six months, and its premium co-branded cards are averaging nearly 20 transactions per month, reflecting strong top-of-wallet behavior.

The funding was led by Activant Capital, with participation from new and existing investors including Mischief (the fund co-founded by Plaid’s Zach Perret), Industry Ventures, Thayer Ventures , Assurant and American Express. This brings Cardless’ total equity funding to date to over $90 million.

“Cardless is attacking one of the largest markets in fintech that has historically been woefully underserved,” said Andrew Steele, Co-founder, Activant Capital. “Before Cardless, the largest brands in the world had been unwilling to launch credit cards because the customer experience provided by legacy banks didn’t meet their standards. Cardless has been able to take the industry head on, and launch cards with some of the most sought after brands on the market. Cardless has built the only embedded platform capable of servicing both consumers and SMBs and we’re excited to double down as they continue to scale large programmes for some of the best companies in the world.”