Kabbage, an Atlanta-based lending startup, has expanded to a new part of the fintech industry to provide small businesses more cash-flow solutions: a new business checking account.
Traditionally, the fintech unicorn has provided lending services and funding to small businesses through an automated lending platform. Kabbage is among a growing number of fintech startups that are entering the banking space.
“Small businesses have always struggled to get basic financial services from their banks, both in the best of times and worst of times, and the PPP only exacerbated that divide,” Kabbage President and Co-founder Kathryn Petralia told Atlanta Inno in an email. “Since day one, we built Kabbage Checking to be a full-service business checking account designed to serve the smallest of businesses. It gives them the banking advantage large businesses enjoy, but without the start-up fees, monthly fees, maintenance fees or overdraft fees—and instead, we pay them so they can better manage and grow their money.”