CNote Raises $7.25M in Series A

CNote, an Oakland, CA-based impact platform on a mission to close the wealth gap through financial innovation, raised $7.25m in Series A funding.

American Family Insurance Institute for Corporate and Social Impact led the round, joined by Astia Fund, BankTech Ventures, Commerce Ventures, CityRock Venture Partners, as well as return participants The Artemis Fund, BLD Ventures, Golden Seeds, Lateral Capital V LP, ManchesterStory Venture Fund, Oxford Angel Fund and Rebalance Capital.

The company intends to use the funds to advance its technology, expand its sales team and deepen its network of community financial institutions.

Co-founded by Catherine Berman and Yuliya Tarasava, CNote provides an impact platform that leverages technology and a community-first framework to enable corporations, institutions and individuals to invest at scale in fixed-income and time deposit products that advance economic equality, racial justice, gender equity and climate change adaptation. The company delivers regular reporting on the social impact of deposits and investments made through its platform.

CNote places investor funds into deposit and loan products through a network of over 2,000 impact-driven community financial institutions that serve low- to moderate-income communities, support women and people of color entrepreneurs, fund affordable housing and provide other forms of economic inclusion.

CNote is deploying about $300 million in cash and fixed-income investments via its platform. The platform has 1,900 corporate, foundation and individual investors, including AMD, Patagonia and Xylem, as well as Apple, Mastercard, Netflix and PayPal.