Facet Wealth Announces $100 Million for Personalized Financial Guidance

By Thomas Price | Wednesday, 19 January 2022 | Startup , Finance , Tech

Facet Wealth is a fintech startup that provides direct, personalized financial planning to users based on their own long-term goals. In the midst of its current business growth, the company announced the close of its Series C funding round led by Durable Capital Partners LP.

Facet Wealth’s Financial Planning Services and Business Growth

Fintech startup Facet Wealth differentiates itself from similar financial planning services by eliminating direct commissions. By operating on a subscription business model, the team of Certified Financial Planners (CFPs) at the company can provide unbiased financial advice that does not affect their own salaries. 

For users, the fintech startup offers guidance and online tools that can help them achieve financial or personal milestones. Users are paired with individual CFPs and are given a financial strategy based on their age, current salary, and risk tolerance. On average, the CFPs meet with users four times a year. 

Facet Wealth also provides users with a profile page that shows their ongoing savings and investment goals, current cash flow, an estimated debt calculator, and a checklist of pending financial tasks. 

The fintech startup has seen rapid business growth over the last few years. Since the start of 2020, the company has grown 10x as an increasing number of people have started to search for affordable financial advice. The fintech startup now has over 10,000 clients across all 50 states and more than 300 employees, including over 100 CFPs. Facet Wealth also reports a customer satisfaction rating of 95%. 

The company is a part of the United States (US) financial planning and advice market, which is estimated to be worth nearly $60 billion and projected to continue expanding at an annual growth rate (CAGR) of 4% over the course of 2022. A major factor in this projected growth is the large number of Americans at or near retirement age who aspire to live comfortably after they exit the workforce.

Facet Wealth Funding Round and Planned Business Expansion

In its Series C funding round, Facet Wealth raised $100 million in capital. In addition to Durable Capital Partners LP, the funding round saw participation from Warburg Pincus, TeleSoft Partners, and Green Cow Venture Capital. The company has now raised a total of $165 million. 

Facet Wealth plans to use the startup funding to further fuel its rapid business growth by investing the majority of the money in technology development, making improvements to the current suite of products, and enhancing the customer experience. The fintech company also plans to hire new employees in its marketing, sales, engineering, and talent acquisition departments.

When commenting on the latest funding round, co-founder and CEO of Facet Wealth Anders Jones said, “To the vast majority of consumers, our industry is an inaccessible sea of sameness that traditionally only serves the wealthy. Facet is creating a new era of consumer-centric financial advice, in which generations of people live happier and fuller lives. Today’s financial advice is poorly designed, and the incentive model many firms use is completely misaligned with people’s needs. We have created a new standard for what financial planning should be and are determined to take the entire industry with us.”

About the Author

Thomas Price

Tom Price is a writer focusing on entertainment and sports features. He has a degree from NYU in English with a minor in Creative Writing. He has been previously published for Washington Square News, Dignitas, CBR, and Numbers on the Boards.