Investors are betting on Secure, a new Seattle-area startup riding a trend of increased interest in emergency savings accounts amid the pandemic.
The company raised a $3.5 million seed round led by SeaChange Fund; other investors include PSL Ventures, IA Ventures, and Bloom Capital.
Secure just spun out of Pioneer Square Labs late last year with its app that helps employers offer a financial wellness benefit to workers beyond their paycheck in the form of an emergency savings account (ESA).
Around 40% of Americans struggle to come up with $400 for an unexpected expense, according to a 2019 survey from the Federal Reserve. That was well before the pandemic forced a nationwide economic crisis.
Secure CEO Devin Miller said there is momentum in this fintech sector as more companies are rolling out programs that let employees save a portion of their paycheck automatically.
Miller previously led Balance Financial, a Seattle-area startup acquired by Blucora’s TaxAct subsidiary in 2013. He later joined Guidant Financial as executive vice president and later president.
Miller co-founded Secure with Bassam Saliba, another longtime entrepreneur who sold Avado to WebMD in 2013 and was a board member/acting CTO at Balance Financial alongside Miller.
The startup has 12 employees and is launching with its first customers this month.
