Immediate, a Birmingham-based earned wage access company, has raised a $16 million funding round.
The funds, split between growth equity and a working capital facility, will be used to boost the company's growth in the workplace financial health sector.
This funding comes as Immediate enters its fifth year in business. The company is experiencing growing momentum due to employees' increased financial challenges amid the current economic climate, a release said.
The funding round was led by Castle Creek Launchpad, a joint fund managed by Castle Creek Capital and Launchpad Capital that invests in fintech companies that are transforming financial services through partnerships with regulated financial institutions, including the fund’s 34 community bank limited partners. Also participating in the funding round were BankSouth, a Georgia-based community bank, and Birmingham executives Bryan Statham and Cynthia Johnson. Statham and Johnson have experience implementing high-growth strategies within early-stage companies and are now serving in a hands-on advisory capacity to Immediate.
The expanded working capital credit facility was provided by SouthPoint Bank.
"Partnerships with banks will help employers better address the needs of a modern workforce. We’re excited to back a strong team and product in this vital and growing market,“ said Ryan Gilbert, founder and general partner at Launchpad Capital.
Matt Pierce, Immediate founder and CEO and a winner of the BBJ's 2022 CEO Awards, said Immediate wants to work with a million Americans by 2025, a feat that will require surrounding the company with investors with experience.
“We could not be more excited about this group of investors who are not only providing Immediate with funding, but also with invaluable advisory and industry expertise that will undoubtedly expedite the growth trajectory of our company," Pierce said. "The future is bright for Immediate and this round of funding — especially in a volatile economic climate — is a validating indication that we are well-positioned as a leader in the rapidly growing financial wellness market."
