Treasury Prime: Bridging the Gap Between Traditional Banks and Fintechs
Chris Dean, co-founder and CEO of Treasury Prime, firmly believes that the best outcomes for consumers will arise from a harmonious partnership between traditional banks and fintech companies. With its innovative banking-as-a-service model, Treasury Prime has established itself as a leader in this space by fostering relationships with both banks and fintechs.
A Unique Approach to Fintech
Treasury Prime’s ability to "keep both sides happy" has been instrumental in driving the company’s growth. Since raising $20 million in Series B funding in May 2021, Treasury Prime’s revenue has increased by nearly 400%, while its accounts have grown by more than 450%. This impressive trajectory is a testament to the company’s unique approach, which prioritizes collaboration between banks and fintechs.
Strategic Partnerships
Unlike many fast-growing fintech startups, Treasury Prime has paced itself when it comes to raising venture capital. The company recently announced a $40 million Series C funding round led by new investor BAM Elevate. Banc Funds and Invicta also participated in the financing, alongside existing backers Deciens, QED, and SaaStr. Dean confirmed that the fundraise was an "up round," but declined to reveal the valuation.
A Platform for Collaboration
San Francisco-based Treasury Prime has raised approximately $73 million since its inception in 2017. Initially, the company focused on building software tooling that helped banks automate and accelerate routine tasks. Over time, it expanded its offering to provide businesses of all sizes with a way to integrate with banks, enabling them to offer new services, reduce costs associated with deposits, and ultimately generate more revenue.
Fintech Services
On the fintech side, Treasury Prime claims to help startups with various services, including:
- Money transfer
- Risk mitigation
- Access to a chartered bank’s infrastructure
The company aims to continue building out its integrated partner marketplace (similar to Synctera) and multi-bank network, which currently comprises 16 banks. Additionally, Treasury Prime plans to develop new products and services, including lending options.
The Future of Banking
According to Dean, "Now that we have enough banks, and they’re all working across a common open banking style API that looks the same for all our banks – to our bigger fintechs it looks like one giant network of banks." This concept has created a virtuous cycle, where more fintechs attract additional banks, making it easier for both parties to collaborate.
Real-World Examples
For instance, Treasury Prime’s clients can have deals with multiple banks and open accounts on all those banks via "just one integration" rather than four separate ones. This is a significant win for businesses, as it simplifies the process of managing multiple bank relationships.
A New Era in Banking
Dean emphasizes that the future of banking lies in collaboration between traditional banks and fintechs. By working together, they can create innovative solutions that benefit consumers while driving growth and profitability for both parties involved.
Conclusion
Treasury Prime’s success is a testament to its unique approach, which prioritizes collaboration between banks and fintechs. As the company continues to grow and expand its offerings, it is poised to play a significant role in shaping the future of banking.
