# Earnest

Startup profile on Capital Atlas: https://capitalatlas.ai/startups/earnest

- Industry: Financial Services
- Headquarters: San Francisco, US
- Website: www.earnest.com
- Total disclosed funding: $112M
- Latest round: Series C (Mar 31, 2017)
- Investors on record: 10

## About

Earnest LLC is a financial technology company that provides low-interest loans and refinancing options primarily for students and their families, enhancing education financing through a seamless online experience.Founded in 2013, Earnest LLC, headquartered in San Francisco, US, offers financial solutions aimed at assisting students with education financing. The company was founded by Charlie Maynard and has undergone a significant pivot, focusing on technology-driven loan services. In October 2017, the company was acquired by Navient Corp for USD 155 mn. Earnest has completed a total of 8 deals since its inception.Earnest specializes in providing low-interest loans and refinancing options primarily aimed at supporting students and their families during the education financing process. The company offers a range of financial products, including student loan refinancing, personal loans, and Parent PLUS refinancing. Their services enable borrowers to consolidate both federal and private student loans into a single, manageable payment with flexible terms tailored to individual financial situations. By employing a technology-driven approach, Earnest allows users to check their potential loan rates and customize their repayment plans through an efficient online platform accessible via mobile devices and computers. The firm primarily serves clients across the United States, focusing on regions with high student populations, but does not limit its client base to specific geographic markets.Earnest generates revenue through its lending operations, which involve issuing loans to consumers in exchange for interest payments over the life of the loan. Transactions typically occur directly between Earnest and its clients, who may be individuals seeking to refinance existing loans or obtain new loans for educational purposes. The pricing structure for Earnest's offerings is competitive, aligning with industry standards for low-interest loans with virtually no fees. Clients benefit from the absence of late payment fees and other hidden charges, which enhances customer satisfaction and loyalty. The company's flagship products, including various refinancing options, contribute significantly to its revenue stream by attracting a growing number of borrowers seeking affordable financing solutions.With the recent acquisition by Navient Corp in October 2017, Earnest plans to leverage this new partnership to expand its market presence and enhance its loan offerings. The company is focusing on developing new financial products aimed at broader consumer demographics, with potential launches expected in the near future. The partnership will also facilitate expansion into new geographic regions, particularly targeting areas with increasing educational needs. The investment from the acquisition will be utilized to enhance technology infrastructure and broaden service accessibility.

## Funding rounds

- Series C, Mar 31, 2017, $20M — Maveron
- Series B, Oct 20, 2015, $75M — Adams Street Partners, Battery Ventures, Maveron, Black River Ventures, Wildcat Venture Partners
- Series A, Jan 27, 2015, $17M — Atlas Venture, Maveron, First Round Capital, Correlation Ventures, Andreessen Horowitz, Collaborative Fund, Wildcat Venture Partners

## Investors

- Atlas Venture (https://capitalatlas.ai/funds/atlas-venture) — Series A
- Maveron (https://capitalatlas.ai/funds/maveron) — Series A, Series B, Series C
- First Round Capital (https://capitalatlas.ai/funds/first-round-capital) — Series A
- Correlation Ventures (https://capitalatlas.ai/funds/correlation-ventures) — Series A
- Andreessen Horowitz (https://capitalatlas.ai/funds/andreessen-horowitz) — Series A
- Collaborative Fund (https://capitalatlas.ai/funds/collaborative-fund) — Series A
- Wildcat Venture Partners (https://capitalatlas.ai/funds/wildcat-venture-partners) — Series A, Series B
- Adams Street Partners (https://capitalatlas.ai/funds/adams-street-partners) — Series B
- Battery Ventures (https://capitalatlas.ai/funds/battery-ventures) — Series B
- Black River Ventures (https://capitalatlas.ai/funds/black-river-ventures) — Series B