Left Lane Capital has led a $20 million Series A funding round in Arc, a company focused on establishing a digital bank for software startups. Other investors include NFX, Y Combinator, Clocktower Technology Ventures, Torch Capital, Atalaya, Bain Capital Ventures, Soma, Alumni Ventures, and Dreamers VC, as well as the founders of Wayflyer, Plaid, Column, Chargebee, Vouch, and Jeeves.
The company will use the new funding to accelerate its growth and expand the availability of its treasury and software products built to help startups access and manage capital while retaining equity. The company also announced that Dan Ahrens, Managing Partner at Left Lane Capital, will join its Board of Directors.
Arc recently expanded its suite of fintech tools with the launch of Arc Treasury in June 2022, a digitally native and vertically integrated cash management account that enables startups to access the essentials including instant deposits, free money movement, unlimited cards, and spend control. The company’s other solutions include Arc Advance, which allows founders to convert future revenue into upfront capital, and Arc Runway, which helps startups analyse their net cash burn to more efficiently deploy their capital to maximise runway. Continued product line expansion is expected throughout the remainder of 2022, with a focus on financial software and analytics.
