Lodo looks to raise $5m in Series D, sets sights on future of online banking
Lodo Software, which last made headlines with the February release of its FI Dashboad, is in the process of raising its fourth round of funding to prepare for what they believe is next in online banking – personalization.
According to a June 23 SEC filing made by Lodo president and CEO Mark Vipond, the six-year-old company is seeking to raise $5 million in a Series D round. In an interview Wednesday, Vipond confirmed the raise and said that, as of this week, Lodo had raised $250,500. Prior to this round, Lodo has raised a total of $2 million:
- Series C, $1.25 million (May 2011) - Personal investment along with angel investors
- Series B, $500,000 (May 2010) - Personal investment along with Omaha-based TreeTop Ventures, Croghan Investments of Longmont, Colo., and six other individuals
- Series A, $250,000 (2008) - One investor
While the three previous rounds involved angel investors, and an initial substantial investment made by the founders of the company, Vipond said this round will target venture capital firms both for their access to capital and their connections in the banking industry.
"What's becoming apparent to us is that there's a rapidly accelerating trend towards the personalization of the online banking experience," Vipond said.
He added: "We're getting requests from [banks] that say, 'I want to go the next step, I want to allow my customer, whoever they are, to pick from a selection of functions, of widgets, an inventory of widgets, and create their own interface into our solution.
"In our opinion, over the next 3-5 years, we will see, the industry will see, a massive refresh of the online banking infrastructure."
While Lodo will continue to offer its current web-based software, OurCashFlow, a personal financial management tool, and its add-on, FI Dashboard, Vipond said the company plans to ramp up research and development and make hires to support it. Lodo has six employees in Omaha (sales, marketing and business development) and seven in Denver (software development). The company's competition includes Strands, Yodlee and Geezo.