Float Financial, an expense management and corporate card startup focused on the Canadian market, has raised $48.5 million in a Series B funding round.

Toronto-based fintech likens itself to US-based fintech giants Brex and ramp but says it’s different because its sole focus is Canadian SMBs, which CEO and co-founder Rob Khazzam says have been “overlooked because of Canada’s banking monopoly and difficult economic climate.”

Goldman Sachs Growth Equity led the financing, which included participation from OMERS Ventures, FJ Labs, Teralys and existing investor Garage Capital. The increase brings Float Financial’s total funding to US $ 92.6 million since its inception in 2020. The company also raised a $36.9 million credit facility in February of 2024, which it uses to provide credit to customers.

The company declined to disclose the valuation, noting only that it was an “up round” from it US$30 million Series A increase led by Tiger Global in November of 2021.

While Khazzam declined to reveal hard revenue numbers, he admitted that Float has seen its revenue increase by “50x” and its total payout volume by 45x since raising Series A. It also said that it has seen a 30x increase in assets under management, he added. The company is not yet profitable.

Float launched its first product in May of 2021 and has gradually expanded its offering from corporate cards and expense management to include bill payments, high-yield accounts, accounts payable automation and virtual physical cards in both Canadian and US dollars. Jane Software, LumiQ, Knix are among its 4,000 customers.

Khazzam dismissed what he described as “the story in the media lately that Canadian businesses are not a good place to invest right now.”

“The SMB landscape in Canada is rich and diverse and full of potential,” he told TechCrunch. “At Float, we know that meeting the needs of these businesses requires a clear Canadian approach…Our financial system must match the speed and ambition of Canadian businesses if we are to thrive locally and compete globally.”

Float plans to use its new capital to further expand its product offering and regional presence within Canada as well as continue hiring.

Laura Lenz, partner at OMERS Ventures, believes that Float’s “ability to work within the Canadian regulatory framework and…understand the nuances of this market” is critical to its success.

“It takes someone familiar with these nuances to make a product that works,” he said. “As investors with strong Canadian roots, we know there is an urgent need for banking infrastructure that can help Canadian businesses keep pace with their US counterparts and remain globally competitive stage.”

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