Bumped is picking up momentum with its unique app that gives users free stocks if they spend money with certain brands.
The Portland startup reeled in another $5 million as part of a larger $19.7 million Series A round that GeekWire previously reported on last year. Investors include Canaan Partners, Commerce Ventures, Peninsula Ventures, Oregon Venture Fund, and individual angels.
Its app is still invite-only, but the company said it is seeing exciting results so far. Users who sign up with Bumped create a brokerage account, link their debit or credit card, and pick from more than 35 brands. When they spend money with those companies, they get a percentage of their purchases back in shares.
The idea is to remove barriers to the stock market, while helping companies attract more business. Bumped does not charge account or trading fees; it earns revenue by charging the participating brands.
The startup has doubled headcount since last year and now has 30 employees, with room to grow in its new Portland office that has room for more than 100 people. It was recently named to Fast Company’s 2019 “most innovative companies” list.
Bumped is led by founder and CEO David Nelsen, a veteran fintech entrepreneur who previously sold digital payments startup Giftango to InComm.
“I’m on a new mission now with Bumped, and I believe everyone deserves to be an owner,” Nelsen writes on his LinkedIn profile. “I also believe the brands will be better for it if they build customer relationships through ownership/stock. Loyalty means more than just getting someone to spend with your brand, it means a vested and mutual interest in future success.”
Other startups are also aiming to remove barriers to investing. Last month GeekWire reported about Concreit, a new Seattle startup that lets people invest in private buildings for as little as one dollar.