Upstart (company)
Type | Public |
---|---|
Industry | Financial technology |
Founded | April 2012 |
Founder | Dave Girouard Anna Counselman Paul Gu |
Headquarters | San Mateo, California, U.S. |
Area served | United States |
Revenue | US$233.416 Million (Fiscal Year Ended 31 December 2020)[1] |
US$11.765 Million (Fiscal Year Ended 31 December 2020)[1] | |
US$5.983 Million (Fiscal Year Ended 31 December 2020)[1] | |
Total assets | US$477.255 Million (Fiscal Year Ended 31 December 2020)[1] |
Total equity | US$300.252 Million (Fiscal Year Ended 31 December 2020)[1] |
Number of employees | 429[2] |
Website | upstart |
Upstart is an AI lending platform that partners with banks and credit unions to provide consumer loans using non-traditional variables, such as education and employment, to predict creditworthiness.
The founding team includes Dave Girouard, former President of Enterprise Google, Paul Gu, a Thiel Fellow, and Anna Counselman, former Manager of Global Enterprise Customer Programs and Gmail Consumer Operations at Google.[3]
Upstart first launched in April 2012 with an Income Share Agreement (ISA) product, which enabled individuals to raise money by contracting to share a percent of their future income. In May 2014, Upstart pivoted away from this product and toward the personal loan marketplace.[4] With this pivot, Upstart began offering a traditional 3-year loan, and has since expanded to offer a 5-year loan product as well.
Upstart developed an income and default prediction model to determine creditworthiness of a potential borrower. This means that in addition to traditional underwriting criteria—FICO score, credit report, and income—the Upstart underwriting considers education variables—colleges attended, area of study, GPA, and standardized test scores— and work history to develop a statistical model of the borrower's financial capacity and personal propensity to repay.[5]
Upstart raised a $1.75M seed round from First Round Capital, Kleiner Perkins Caufield & Byers, New Enterprise Associates, Google Ventures, Crunchfund and Mark Cuban. They subsequently raised a series A round of $5.9M which included new investors Eric Schmidt (Google Executive Chairman), Marc Benioff, Khosla Ventures, Founders Fund, and Collaborative Fund.[3] Upstart raised a Series C round of $35M from Third Point Capital in June 2015, and $32.5M from Rakuten in 2017.[citation needed] Upstart raised a Series D round of $50M from The Progressive Corporation in 2019.[6]
See also[]
- SoFi
- Lending Club
References[]
- ^ Jump up to: a b c d e "Upstart Holdings, Inc. 2020 Annual Report". Upstart. December 31, 2020. Retrieved August 5, 2021.
- ^ "Form S1 Upstart Holdings, Inc". SEC Report.
- ^ Jump up to: a b "About Upstart". Upstart. Retrieved December 20, 2012.
- ^ Ha, Anthony (August 8, 2014). "Former Google Executive Dave Girouard Launches Crowdfunding Service Upstart, Raises $1.75M". TechCrunch.
- ^ Keohane, Dennis (April 29, 2014). "Upstart keeps innovating lending models to finance the young and ambitious". BetaBoston.
- ^ Singh, Manish (April 8, 2019). "Upstart raises $50 million and partners with banks to expand its AI lending business". Retrieved January 9, 2021.
- American companies established in 2012
- Financial services companies established in 2012
- Companies listed on the Nasdaq
- Peer-to-peer lending companies
- Financial services companies based in California
- Online marketplaces of the United States
- Companies based in San Carlos, California
- 2012 establishments in California