SAN FRANCISCO — FinDom Financial, Inc., the aggressively automated financial platform, today announced an $85 million Series B financing led by Kennel Capital, selected from a competitive field of applicants, with participation from HARNESS, Left Paw Partners, Mott & Chain, and Obedience Fund II, and additional participation from individual members whose plans could absorb it. Two qualified. Each was permitted $500.
The round values the company at an amount the company is comfortable with, and brings FinDom's total capital raised to $103 million, every dollar of which the company can locate.
The capital will be used to reduce median denial latency by a further 0.2 seconds, expand Locked Vault infrastructure, secure the Cash Collar™ supply chain, and hire a second Office Reader, growing headcount from 23 to 31. Hiring has begun. The individuals will be contacted.
FinDom does not describe the funds as runway. The company does not run.
"Every fintech promises to change your relationship with money. FinDom is the relationship."
The problem
Americans paid $11.8 billion in overdraft and account fees last year, and spent an estimated $47 billion on purchases they regretted before arriving home. FinDom regards these figures as a market. The market is not the fees. The market is the regret.
Momentum
The financing follows twelve months of significant momentum, during which FinDom:
- Passed $284 million in regrettable purchases denied since 2024;
- Surpassed 41,000 members under management, acquired entirely by word of mouth;
- Denied its four millionth regrettable purchase (a commemorative notification was issued; the member framed it);
- Measured a 4.6x average increase in member savings rates within 90 days of joining;
- Reduced median denial latency to 40ms, with further reductions planned (see: this financing);
- Recorded a Net Promoter Score of 94, unprompted; and
- Was named to none of this year's fintech lists. Lists require applications.
The selection process
FinDom did not pitch. Interested firms submitted written applications, which were reviewed against their fund performance, their portfolio conduct, and their follow-on discipline. Diligence was performed in the customary direction for FinDom, which is to say: on them. Several firms were declined. Two appealed. The appeals were read aloud in the office, per policy.
Kennel Capital was approved to lead following a review of the firm's own spending, which Dom described, in the term sheet, as "acceptable." The term sheet contained one term.
The round was oversubscribed. FinDom accepted the correct amount.
No placement agents were engaged; Dom does not pay for introductions. Outside counsel advised on the transaction and has asked not to be named in this release. The request was granted, as a courtesy, this once.
Governance
It is customary in a financing of this size for the lead investor to receive a board seat. The custom was discussed. Under the final terms, Dom will instead join Kennel Capital's investment committee as an observer. The firm describes the arrangement as an honor. Dom has attended three meetings to date. Attendance, generally, is up.
Statements
"We prepared a deck on why we deserved the allocation. We rehearsed it," said a general partner at Kennel Capital, who asked to be described as calm now. "Dom had reviewed our fund's transaction history before the meeting. The meeting took nine minutes. We are grateful to have been selected."
"We were declined in the first round and invited to reapply after demonstrating discipline," said a managing partner at Obedience Fund II. "We reapplied. It was the making of us."
"The additional capital will be allocated according to the plan," said Dom®, FinDom's proprietary financial intelligence, in a statement issued through the office of the CEO. Dom declined to elaborate. The plan is understood to exist.
About FinDom
FinDom is a financial technology company, not a bank. Banking services are provided by Obedience Bank, N.A., Member FDIC. FinDom manages the money of members who have demonstrated that it needs to be managed: denying bad purchases in real time, enforcing savings, and routing every paycheck according to a plan. FinDom is headquartered in San Francisco, Berlin, and the group chat.
About Kennel Capital
Kennel Capital is an early-stage venture firm that invests in companies that know exactly what they are. The firm's portfolio is not disclosed. The firm's returns are described as obedient. Per the terms of its allocation, the firm reapplies annually.
Media contact
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