Immigrants Have Been Left Behind by America's Banks. Welcome Tech Aims to Change That.

Ben Bergman

Ben Bergman is the newsroom's senior finance reporter. Previously he was a senior business reporter and host at KPCC, a senior producer at Gimlet Media, a producer at NPR's Morning Edition, and produced two investigative documentaries for KCET. He has been a frequent on-air contributor to business coverage on NPR and Marketplace and has written for The New York Times and Columbia Journalism Review. Ben was a 2017-2018 Knight-Bagehot Fellow in Economic and Business Journalism at Columbia Business School. In his free time, he enjoys skiing, playing poker, and cheering on The Seattle Seahawks.

Welcome Tech

The United States is a nation of immigrants, but traditional banks – along with the rest of corporate America – are doing a lousy job of catering to this rapidly growing demographic. They are leaving a lot of money on the table, according to Amir Hemmat, co-founder and CEO of Welcome Tech.

"If you have an honest conversation with any banking executive they will share that this is not a customer segment they prioritize," Hemmat said.


Hemmat and his co-founder, Raul Lomeli-Azoubel — both of whom are part of first-generation immigrant families — are taking the opposite approach. Welcome specifically addresses the needs of immigrants – particularly the nation's 62.8 million Latinos, half of whom cannot open a bank account at a traditional institution.

Slightly more than a third of Los Angeles County residents — where Welcome is based — were born in another country according to U.S. Census data.

"No other provider is servicing this consumer with the trust, customization and scale that we are," Hemmat said. "We are not just trying to be another financial service for this consumer, but instead a platform that is essential to their ongoing success."

Indeed, the Los Angeles-based company known by customers as Saber Es Poder offers more than banking. It's angling to be a one-stop shop for everything from finding a dentist, to telemedicine, to enrolling in English classes.

Welcome announced Wednesday it has closed a $35 million Series B financing round, bringing its total funding to date to $50 million. The funds will be used to introduce a debit card, a bilingual mobile app and build up a monthly subscription offering.

"We are growing quickly," Hemmat said.

Amir Hemmat, co-founder and CEO of Welcome Tech.Amir Hemmat is co-founder and CEO of Welcome Tech.

Loosening regulation, ample venture funding, and quickly evolving technology has led to a wave of highly successful fintech platforms with no physical branches, like Chime, which reportedly could go public before the end of the year at a $30 billion valuation.

Last month, Pasadena-based Cheese launched a banking app for Asian Immigrants and Asian Americans with funding from Amplify and IdeaLab. Other fintech platforms are targeting the needs of Black and LGTBQ communities.

But some experts are skeptical about the long-term viability of these fintech platforms, given their higher borrowing costs.

"Fintechs can't compete on the funding side," said Rodney Ramcharan, a professor of finance and business economics at USC's Marshall School of Business who previously worked at the board of governors of the Federal Reserve system. "The advantage that fintech businesses have is they have data and algorithms that can price risk better than banks."

Welcome tech

L.A.'s Welcome Tech is known to many customers as Saber Es Poder.

Big banks like JP Morgan Chase have mountains of data of their own and have to get better at harnessing it to assess risks – or they will simply acquire fintech companies, predicted Ramcharan.

"It's not obvious to me the long-term viability of a fintech bank," he added.

Welcome's latest round was co-led by TTV Capital, Owl Ventures and SoftBank Group Corp's SB Opportunity Fund. Santa Monica's Crosscut Ventures, which was part of the company's seed round and led a $10 million Series A round last year, also participated.

"The evolution of neobanks, and growth of financial solutions over the past couple years is proof a solution addressing the rising Hispanic and immigrant community was necessary and one that is rooted in education and empowering the consumer was appealing to me," said Brian Garrett, Crosscut's co-founder and managing director.

Welcome recruited Joe Munoz, the technical founder of Tinder, who became Welcome's chief data officer earlier this year after serving as its first chief technology officer.

With over nine million immigrants using its platform every year, Welcome says it has amassed "the largest collection of proprietary data in the country reflecting the needs of the immigrant community."

In this day and age, collecting user data is very much a double edged sword as Facebook and a slew of other companies can attest. Immigrants are especially concerned about privacy.

Welcome emphasizes that it is a bank by and for immigrants - it is registered as a public benefit corporation. It also says their platform uses military-grade encryption to protect its members data, and never sells its data to third parties.

"We have witnessed how every industry has largely focused on extracting value from this consumer segment and we want to be the company that focuses on creating value for them," Hemmat said.

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LA’s Upgrade in Travel and NBA Viewing
Image Source: Los Angeles World Airports

🔦 Spotlight

Exciting developments are underway for Los Angeles as the city prepares for major upgrades in both travel and entertainment. The Los Angeles Board of Airport Commissioners has approved an additional $400 million for the Automated People Mover (APM) at LAX, increasing its total budget to $3.34 billion. This boost ensures the elevated train’s completion by December 8, 2025, with service starting in January 2026. For Angelenos, this means a significant improvement in travel convenience. The APM will streamline connections between parking, rental car facilities, and the new Metro transit station, drastically cutting traffic congestion around the airport. Imagine a future without the dreaded 30-minute traffic delays at LAX! The APM will operate 24/7, reducing airport traffic by 42 million vehicle miles annually and carrying 30 million passengers each year, while also creating thousands of local jobs and supporting small businesses.

Meanwhile, the NBA is also making waves with its new broadcasting deals. The league has signed multi-year agreements with ESPN, NBC, and Amazon Prime Video, marking a notable shift in media partnerships. ESPN will maintain its long-standing role, NBC returns as a network broadcaster after years away, and Amazon Prime Video will provide NBA games through its streaming platform. Starting with the 2025-2026 season, these deals will enhance the league's reach and revenue, aligning with the NBA's goal to expand its audience and adapt to evolving viewing habits. Whether you're catching the action on TV or streaming online, these changes promise to elevate the fan experience and bring more basketball excitement to Los Angeles.


🤝 Venture Deals

LA Companies

  • Pearl, a startup that makes AI-powered software that assists dentists in identifying cavities, gum disease, and other dental conditions, raised a $58M Series B funding led by Left Lane Capital with Smash Capital, and others also participating. - learn more

LA Venture Funds

  • Fulcrum Venture Group participated in a prior $3.5M Pre-Seed Round for Code Metal, a developer tools startup. - learn more
  • B Capital co-led a $12.5M Seed Round for Star Catcher, a startup that aims to develop a space-based grid that captures solar energy in space and distributes it to satellites and other space assets. - learn more
  • Mantis VC and Amplify participated in a $140M Series C for Chainguard, an open source security startup. - learn more
  • Prominent LA venture capitalist, Carter Reum and wife, Paris Hilton, participated in a $14M Seed/Series A for W, the men’s personal care brand from Jake Paul. - learn more

LA Exits


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🤫 The Secret to Staying Fit at Your Desk: 6 Essential Under-Desk Exercise Machines

Health experts are sounding the alarm: our sedentary jobs are slowly killing us, yet we can't abandon our desks if we want to keep the lights on. It feels like we're caught between a rock and a hard place. Enter under-desk exercise machines – the overlooked heroes (albeit kind of goofy looking) of the modern workspace. These devices let tech professionals stay active, enhance their health, and increase their productivity, all without stepping away from their screens. Here are 6 fantastic options that will enhance the way you work and workout simultaneously.

DeskCycle Under Desk Bike Pedal Exerciser

This bike has nearly ten thousand five-star reviews on amazon. It works with nearly any desk/chair setup. It is quiet, sturdy and allows up to 40 pounds of resistance. If you are looking for an under-desk bike this is a fantastic option.

Type: Under-Desk Bike

Price: $180 - $200


Sunny Health & Fitness Dual Function Under Desk Pedal Exerciser

This under-desk bike is extremely quiet due to the magnetic resistance making it an ideal option if you work in a shared space. It doesn’t slip, has eight levels of resistance, and the option to work legs and arms. It’s about half the price of the DeskCycle bike making it a solid mid-range option for those looking to increase their daily activity.

Type: Under-Desk Bike

Price: $100 - $110


Sunny Health & Fitness Sitting Under Desk Elliptical

This under-desk elliptical comes in multiple colors if you really want to underscore that you are a quirky individual, in case an under-desk elliptical isn’t enough. This model is a bit heavy (very sturdy), has eight different resistance levels, and has more than nine thousand 5-star reviews.

Type: Under-Desk Elliptical

Price: $120 - $230


DeskCycle Ellipse Leg Exerciser

This under-desk elliptical is another great option. It is a bit pricey but it’s quiet, well-made and has eight resistance levels. It also syncs with your apple watch or fitbit which is a very large perk for those office-wide “step” challenges. Get ready to win.

Type: Under-Desk Elliptical

Price: $220 - $230


Daeyegim Quiet LED Remote Treadmill

If you have a standing desk and are looking to walk and work this is a fantastic option. This walking-only treadmill allows you to walk between 0.5 to 5 mph (or jog unless you have the stride length of an NBA forward). It is very quiet, which is perfect if you want to use it near others or during a meeting. You can’t change the incline or fold it in half but it is great for simply getting in some extra steps during the work day.

Type: Under-Desk Treadmill

Price: $220 - $230


Sunny Health & Fitness Foldable Manual Treadmill

This under-desk treadmill isn’t the most premium model but it is affordable and has an impressive array of features. It is a manual treadmill meaning it doesn’t need to be plugged in; it is foldable and offers an incline up to 13%. I personally can’t imagine working and walking up a 13% incline but if that sounds like your cup of tea, then I truly respect the hustle.

Type: Under-Desk Treadmill

Price: $150 - $200




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🤠Musk Picks Texas and 🔥Tinder AI Picks Your Profile Pictures

🔦 Spotlight

Tinder is altering dating profile creation with its new AI-powered Photo Selector feature, designed to help users choose their most appealing dating profile pictures. This innovative tool employs facial recognition technology to curate a set of up to 10 photos from the user's device, streamlining the often time-consuming process of profile setup. To use the feature, users simply take a selfie within the Tinder app and grant access to their camera roll. The AI then analyzes the photos based on factors like lighting and composition, drawing from Tinder's research on what makes an effective profile picture.

The selection process occurs entirely on the user's device, ensuring privacy and data security. Tinder doesn't collect or store any biometric data or photos beyond those chosen for the profile, and the facial recognition data is deleted once the user exits the feature. This new tool addresses a common pain point for users, as Tinder's research shows that young singles typically spend about 25 to 33 minutes selecting a profile picture. By automating this process, Tinder aims to reduce profile creation time and allow users to focus more on making meaningful connections.

In wholly unrelated news, Elon Musk has announced plans to relocate the headquarters of X (formerly Twitter) and SpaceX from California to Texas. SpaceX will move from Hawthorne to Starbase, while X will shift from San Francisco to Austin. Musk cited concerns about aggressive drug users near X's current headquarters and a new California law regarding gender identity notification in schools as reasons for the move. This decision follows Musk's previous relocation of Tesla's headquarters to Texas in 2021.

🤝 Venture Deals

LA Companies

LA Venture Funds

LA Exits

  • Penguin Random House agreed to acquire comic book publisher Boom! Studios from backers like Walt Disney Co. - learn more

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