Fintech Startup Stoa Raises $2.4 Mn in Pre-Seed Round

The round also included investments from individual investors such as Suneel Hargunani, former executive at Citi, Rachel Sestini, partner at Shaw Gibbs Group and co-founder of Canopy Capital, along with several other senior leaders from the financial services industry.

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Stoa combines financial technology, banking services, and partnerships with brands to create a platform that connects banks, businesses, and customers.

The platform is now available in the UK for both consumers and businesses. Customers can deposit their money into fixed-term "Stoa Pots" and receive rewards from partner brands upfront instead of earning only interest.

Customer deposits are held with regulated banking partners, and eligible funds are protected under the Financial Services Compensation Scheme (FSCS), providing added security for users.

Mike Saraswat, co-founder and CEO of Stoa, said: "The future of cash management is not just about interest rates. People want choice, tangible value and a clearer sense of how their money is working for them. Stoa is creating a new experience around idle cash by offering customers upfront rewards while keeping eligible deposits protected through regulated banking infrastructure."

According to Stoa, more than £600 billion is kept in UK consumer accounts that earn little or no interest. Small and medium-sized businesses (SMEs) also hold more than £250 billion in cash reserves. The company wants to offer a better option by combining fixed-term deposits with upfront rewards through partnerships with banks and brands.

The new funding will help Stoa develop new products, grow its partnerships, and expand its business in the UK and the United States. The company is also building partnerships with banks and merchants in the US as it prepares to launch its platform there.