Freelancer banking app Lili raises $10m

The startup banking app for freelancers, Lili, has announced today they have successfully raised $10m in seed funding led by Group 11 and had participation from Foundation Capital, AltaIR Capital, Primary Venture Partners, and Torch Capital. 

The funding will be used to enhance the platforms usability and build new features as well as provide the resources to increase their company size in the product, marketing, and operation teams. 

Statista estimates that there are around 64.8m freelancers in the United States for the year 2020 giving Lila an opportunity to grow their market share and increase their customer list by receiving this funding for new and improved initiatives. 

Lilac Bar David, co-founder and CEO of Lili said: “We’ve built the only solution that truly enables freelancers to holistically manage their bank accounts and their expenses for work and life, saving them up to 60 hours and $1,700 per year. We’ve analyzed the challenges of the modern worker in all aspects of banking, taxes, expenses and savings and have created an easy-to-use mobile app that helps them thrive in today’s ever-changing work environment.”

COVID-19 has led to financial businesses being successful in their funding rounds due to the increased need for their digital and automation services with Smarterly recently raising £7m in a Series A funding round and Vesta securing a $125m investment for their fraudulent AI technology. 

New York-based banking app for freelancers Lili was founded in 2018 and launched in July 2019 by CEO Lilac Bar David and CTO Liran Zelkha who between them have over 20 years’ experience in the banking industry.

Lila’s mission is to “empower freelancers with tools and services designed to improve their work, their life, and their balance.”

Lili has successfully grown it’s customer list to include a range of freelancers from full time independent business owners or part time on the side freelancers in industries including e-commerce shop owners, programmers, fitness instructors, construction workers, chefs, beauty professionals, and more. 

Lili’s banking app for freelancers, which is available on iOS or Android is a banking application that manages their banking, showing incomings and outgoings in real-time with a built in tax-saving tool while having no account fees, no minimum balance requirements, no overdraft fees, and no foreign transaction fees making it an ideal platform for freelancers who might need live updates and easy access. 

Dovi Frances, Founding Partner at Group 11 said in a statement: “Lili is redefining banking for freelancers, and we’re thrilled to be partnering with the team. As the future of work continues to evolve more quickly than ever in these uncertain times, Lilac and Liran’s forward-looking vision is changing how modern workers manage their finances, while saving them valuable time and money.”

Since Lili launched in 2019 they have welcomed tens of thousands of freelancers across various industries in the USA’s 50 states and only last month Lili was voted as the best bank account for Freelancers of 2020.