Kafene raises $18m as it boosts US underbanked

A US digital platfom which helps the US underbanked obtain credit for big-ticket items has just raised $18m.

Kafene offers flexible lease-to-own (LTO) financing options.

The Series B round was led by Third Prime and existing investors. It was back in 2021 when Kafene rasied $30m, again led by Third Prime, in a Series A in which Valar Ventures also participated.

Kafene works closely with merchants to provide agreements which are free of debt.

Neal Desai, CEO Kafene, said: “We’re extremely excited to be doubling down on partnering with merchants to offer more flexible ownership options precisely when they’re needed most, and right at a time in which others have retreated and tightened their credit boxes.

“Kafene continues to grow in scale and valuation, and we’re thrilled to have like minded investors who share our vision and belief that today presents a powerful opportunity to take our platform and relationships to the next level. We’re poised not just to take market share, but to significantly broaden the market. We’ve only just scratched the surface ”