Crowded Raises $7.5M to Improve Nonprofit Efficiency
With nonprofits facing new financial uncertainty in the wake of President Trump’s federal funding freeze, Crowded, a mission-driven fintech platform simplifying financial management for nonprofit organizations, announced it has raised $7.5 million in its Series A funding round, bringing its total funding to $13.5 million to date.
President Trump’s executive order to halt certain federal grants and funding has put thousands of nonprofit programs at risk, leaving organizations scrambling for alternative financial solutions. The uncertainty has heightened the need for transparency, efficiency, and real-time access to financial resources—challenges that Crowded directly addresses through its AI-driven financial management tools.
The round was led by Flashpoint a $500m transatlantic VC that counts Guesty, Chili Piper and Mesh Payments among their portfolio companies with participation from the Florida Opportunity Fund, Wilson’s Bird Capital led by Efi Shema, as well as follow-on investments from existing investors Sarona Ventures and The Garage.
Crowded is trusted by over 35 institutional customers, including renowned organizations such as Harvard Athletics, Pi Kappa Alpha Fraternity, and leading councils of Girl Scouts of the USA. Harvard Athletics is utilizing Crowded’s platform for select teams to manage per diems for student-athletes. These student-athletes can now spend their per diems with digital debit cards and make instant, fee-free transfers with their peers.
By digitizing financial management and eliminating manual processes, Crowded enables nonprofits to redirect their focus from administrative tasks to community-focused work. Crowded’s robust platform provides nonprofits with tailored multi-chapter banking, payment processing, expense management, and AI-powered tax filing services, empowering organizations with tools for financial oversight and compliance.
"In the wake of President Trump’s executive order & funding freeze, the spotlight on nonprofit financial management and accountability has never been brighter," said Daniel Grunstein, Co-Founder and CEO of Crowded. "Nonprofits handle $3.9 trillion in payments annually and make up 14% of US GDP, yet outdated systems and fragmented processes hold back their efficiency and impact. This funding allows us to expand our nonprofit financial management platform with payment processing, compliance, and AI-powered taxation tools—giving nonprofits the modern infrastructure they need to operate as seamlessly as the world’s top enterprises. By solving these challenges, we’re enabling organizations to focus less on administration and more on their mission to drive change."
The lead investor, Flashpoint, emphasized the potential for Crowded’s mission-driven approach. “With the recent funding freeze creating uncertainty for nonprofits, solutions like Crowded are more critical than ever,” said Noam Wolf at Flashpoint. “Crowded is dedicated to helping nonprofits focus on their mission rather than their balance sheets, and this moment highlights the urgent need for financial transparency and resilience. We are proud to support their growth and look forward to seeing them empower more organizations to do good.”
The preceding press release was provided by a company unaffiliated with NonProfit PRO. The views expressed within do not directly reflect the thoughts or opinions of the staff of NonProfit PRO.
