Grasshopper’s steady growth continues with comprehensive digital banking capabilities and expanding Fintech partnerships

Revenue is up 239% year-on-year and Digital Business Bank expects to maintain its growth

NEW YORK, NY / ACCESSWIRE / March 8, 2023 / Grasshopperthe client-first digital bank built for the business and innovation economy, today announced unprecedented growth and strong momentum for the year ending 2022. The bank expanded its leadership team, relaunched last March with a new vision, and has built strong business areas across several areas, including Small and Medium-sized Business (SMB) Banking, Banking-as-a-Service (BaaS), SBA Lending, Commercial Real Estate Lending, Venture Banking and more.

“We experienced tremendous growth in 2022 as all of our lines of business excelled in delivering value to our customers,” said Mike Butler, CEO of Grasshopper. “Despite some economic headwinds, the market for our digital solutions continues to grow rapidly and we will continue to work tirelessly to ensure our customers have the exceptional digital banking experience they deserve and demand. To do so, we will continue to partnering with industry-leading fintech companies that help expand our capabilities and develop lines of business that directly meet the needs of small and medium-sized businesses.”

Grasshopper expanded significantly in 2022 across many different aspects of the business, showcasing its many facets and capabilities. Here is a summary of the company’s growth compared to previous years:

• Assets, deposits and loans increase

  • Assets reached over $620 million, 108% growth year over year

  • Deposits reached over $549 million, 124% year-over-year growth

  • Loans reached over $450 million, 262% year-over-year growth,

• Revenues are rising – Total revenue exceeded $17 million in 2022, which is 239% year-over-year growth

• Innovator checking drives momentum – Grasshopper’s Innovator Business Checking the product, designed for SMBs across the country, received over 6,200 digital applications and generated over $425 million in transaction volume since its launch in Q2 2022.

• Grasshopper BaaS is getting started – Through its partnerships with Treasury Prime and FIS, Grasshopper became the first financial institution to take advantage of FIS’ embedded financial services and acted as the pilot bank in building out its BaaS and Corporate API Banking platform, bringing its first client live in April 2022 and adding a number of new high-quality partners throughout the year.

• SBA loans range from $0 to $74.3 million – In less than a year, the Grasshopper Preferred Lender Program (“PLP”) received delegated authority status with the US Small Business Administration, closing a total of 60 loans to date.

• Venture banking is expanding – Grasshopper increased its focus over the past year to work with venture capital and private equity funds and later companies and continues to align the Venture Banking team with its innovative fintech and BaaS programs.

• New technology for CRE & Yacht Lending – Complementing its deposit offerings, Grasshopper introduced new technologies over the past year to support its Commercial Real Estate (CRE) and Yacht Lending teams, allowing the bank to significantly reduce underwriting and closing turnaround times.

• Increase in employment – Grasshopper also experienced huge hiring growth with a 31% increase in employees since the start of 2022.

• Fintech partnership expansion – Grasshopper rebuilt its technology platform with a “fintech partnership” mindset, working with a number of leading companies to provide a superior digital banking experience for its customers. New technology partnerships include Treasury Prime, FIS, Narmi, Alloy, Visa, Autobooks, Hummingbird and FiVerity.

• Fresh capital – Grasshopper announced the completion of a $30.4 million capital raising, bringing the digital commercial bank’s total funding to date to $160 million since 2019.

The story continues

Grasshopper has already started 2023 strong with two new strategic partnerships included Rampa leading corporate card and financial automation platform, and MANTLE, a leading provider of account creation solutions. Grasshopper’s customers now have access to Ramp’s platform on a referral basis, including virtual and physical business cards, with more integration into Grasshopper’s digital banking experience expected in the coming weeks.

Grasshopper also recently announced that it will leverage MANTL’s Commercial Deposit Origination solution to strengthen its digital deposit origination platform for businesses and provide a superior customer experience. Additionally, through this partnership, the bank will work with MANTL to build a fully automated online business loan origination solution from scratch, which is currently under development and expected to launch in the second half of 2023.

Mike Butler added, “Grasshopper remains true to its mission of serving the business and innovation economy. We strongly believe in diversifying and expanding fintech partnerships to bring unique solutions to a wider range of clients, which will continue to serve us well in 2023 and beyond.”

To learn more about Grasshopper and its outlook for 2023, visit the Grasshopper blog here.

About Grasshopper Bank

With total assets in excess of $600 million, Grasshopper is a client-first digital bank serving the business and innovation economy. Grasshopper replaces the traditional one-size-fits-all approach to banking with a suite of products and services tailored to specific industries, and a passionate team of experts with deep expertise in their fields. Grasshopper’s banking solutions cover small businesses, venture-backed companies, fintech-focused Banking-as-a-Service (BaaS) and commercial API banking platforms, SBA loans, commercial real estate lending and yacht financing. Headquartered in New York City, the bank is a member of the Federal Deposit Insurance Corporation and is an Equal Housing/Equal Opportunity Lender. For more information, visit the bank’s website at www.grasshopper.bank or follow along LinkedIn and Twitter.

Media contact

Josh Eichenbaum
Caliber Business Advisors
[email protected]

SOURCE: Grasshopper

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