• Synctera raised $15 million in a Series A extension round, bringing its total equity funding to $94 million since 2020.
  • The company saw an 80% revenue increase and a 230% gross profit rise year-over-year, with 416,000 end users—up over 3x from last year.

Banking-as-a-Service (BaaS) startup Synctera has raised $15 million in a Series A extension round, bringing its total equity funding to $94 million since its inception in 2020.

The round was co-led by Fin Capital and Diagram, with continued backing from investors such as Lightspeed Venture Partners, NAventures, Banco Popular, Mana Ventures, Evolution, True Equity, and 1st and Main.

Synctera’s CEO and co-founder, Peter Hazlehurst, did not disclose the company’s valuation but stated that the fresh funding is expected to help the company reach breakeven by early 2026.

The company has seen significant growth, reporting an 80% increase in revenue and a 230% increase in gross profit year-over-year for its fiscal year ending January 31. Its customer base now includes 31 companies, such as one-click checkout platform Bolt, Webull, Fruitful, Unified Signal, and Firstcard. Synctera’s platform serves 416,000 end users, a threefold increase compared to the previous year.

Hazlehurst emphasized that compliance is a key differentiator for Synctera.

“While all of our competitors similarly provide the API layer needed to launch fintech and embedded banking products, Synctera’s key differentiation lies in the tools and infrastructure we offer to customers and banks to manage compliance and ongoing operations,” he said.

Despite industry challenges following the collapse of BaaS provider Synapse, Synctera has continued to grow.

“We experienced a number of fintechs coming to us looking for a solution and migration path to a new banking relationship,” Hazlehurst noted.

The company generates revenue through platform fees, usage-based charges for accounts and transactions, fraud monitoring, KYC/KYB services, and a share of interchange and interest on deposits.

The new funding will support product development and expand Synctera’s sales team. Additionally, the company sees strong demand in Latin America, where it aims to further its presence.

Synctera recently formed a strategic partnership with Hawk, an AI-driven financial crime prevention firm, reinforcing its focus on security and compliance in the evolving BaaS landscape.

Edited by Harshajit Sarmah