Insurtech Startup Functional Finance Raises $8 Million to Further Expand Operational Efficiency for the Insurance Industry
SAN FRANCISCO, Aug. 3, 2023 /PRNewswire/ -- Functional Finance, a software platform that integrates and automates data and reporting functions for insurance companies, announced today that it has secured $8 million in seed capital, plus $2 million in SAFE notes for future equity investments, which will go towards product development and client relationships. The fundraising round was led by venture capital and growth equity firms New Enterprise Associates, Inc. (NEA), Walkabout Ventures and Altai Ventures, with participation from industry titan Hank Greenberg's C.V. Starr Insurance and other premier investors.
- Rashmi "Rush" Melgiri – a two-time insurtech entrepreneur – and seasoned technology executive Tony DeGangi co-founded Functional Finance in 2021.
- Their mission is to resolve the convoluted operational processes found throughout the insurance sector following years of experience dealing with insurance technology issues firsthand.
- CEO Melgiri previously co-founded CoverWallet and is joined by CoverWallet's former president Jim Ermilio, who now serves as Functional Finance's President.
- "At my last startup I realized firsthand that spreadsheets and emails are terribly inefficient, error-prone and costly ways for the insurance industry to manage their payables and receivables," said Melgiri, CEO of Functional Finance.