Majority Closes A $9.75M Raise As It Expands In Texas

Majority, a mobile banking company providing financial services to US migrants, has closed its fourth funding round in two years. The company has also expanded its presence in Texas with a community meetup space.

Majority closes a $9.75M raise

The fresh $9.75M funding follows a $37.5M Series B funding round that the financial institution had announced in September last year. Majority has now raised more than $86 million worth of equity. The bank raised $19 million in seed funding and $27M in Series A funding.

The recent funding round is the fourth that the company has closed in two years. The existing investors that participated in the recent funding round include Valar Ventures and Heartcore Capital.

The founder and CEO of Majority, Magnus Larsson, said, “The main thing for us is to continue following the plan and structure that we started at the beginning, which is to take a step-by-step approach, starting with one community at a time, then adding another and another.”

Majority, which was founded in 2019, charges a membership fee of $5.99 per month. The company provides migrants with a bank account, debit card, community discounts, free global money transfer services, and discounted global calling services.

Those who open accounts at the bank are not required to provide a Social Security number or any documentation in the US. They only have to issue a government-issued ID from any country and proof of US residence. The bank does not have minimum balance requirements or charge overdraft fees.

Majority also offers an “Advisor Program” that involves a network of more than 250 trained support staff globally. The support staff is made up of immigrants, which enables the bank to meet its objectives.

Majority is expanding its presence in Texas

Besides closing the $9.75M funding round, Majority has also opened a community meetup location in Laredo, Texas. According to Larsson, this new location has brought the company close to The Gateway to the Americas International Bridge.

Majority also boasts of locations across Florida, Miami, Orlando, Houston, and Hialeah. Larsson noted that the bank’s operations first started in Texas and Florida, with Florida being its main focus. However, the company was now expanding to make it easier for an immigrant to access their first banking product when they enter the US.

Larsson has not shared any specific details about Majority’s customer base and revenues. However, he noted that the transaction volume at the bank was increasing six times per year.

Besides having a new location in Laredo, Majority will also have a Financial Handbook for Mexicans being launched towards the end of the year. The product will be a specialized version of the “Migrant Handbook” that offers information on how an immigrant can start their life in the US.

Larsson noted that the bank was currently focused on following the plan and the structure that was set out at the beginning by having a systematic approach. The funding round would play a critical role in achieving these objectives.