How Grasshopper is making business banking more accessible

Grasshopper began operations in 2019 and is a client-first digital bank serving small businesses, startups, and investors supporting them across the innovation economy. 

Privately owned and headquartered in New York City, the bank is a Federal Deposit Insurance Corporation member and is an Equal Housing/Equal Opportunity Lender. 

The bank was named after the famed computer scientist and US Navy rear admiral Grace Hopper and its tagline “Only Forward” pays homage to the grasshopper, who can only jump forward.

Grasshopper replaces the traditional one-size-fits-all approach to banking with a suite of products and services tailored to specific industries, Its digital solutions cover small businesses, venture-backed companies, fintech-focused Banking-as-a-Service (BaaS) and commercial API banking platforms, SBA lending, commercial real estate lending, and yacht financing. 

Using technology to solve banking problems 

The company has recently announced the relaunch of its digital banking platform to meet the shifting demands of small businesses and innovators across the country. 

The revamped management team is led by former Radius Bank CEO, Mike Butler, and the bank has entered into new lines of business and developed partnerships with industry-leading fintech companies.

All of this has been done as a way to expand Grasshopper’s mission of providing a superior digital banking experience for the business and innovation economy. The new direction is buoyed by substantial growth over the past year with total loans increasing by 19%, total deposits increasing by 75% and total assets increasing by 32%.  

“Grasshopper is in its best position yet to help small businesses address the key challenge of taking advantage of digital tools to control their finances and deliver value to their customers,” said Mike Butler, CEO of Grasshopper. “The past two years have underscored the fact that the small business market has been traditionally underserved by banks, causing many business owners to seek digital solutions to fit their needs – a trend that will continue beyond the pandemic. As serving small businesses is core to our business, and with our leadership and technology, we are uniquely positioned to solve this problem.”

New partnerships to improve banking experience 

Grasshopper has also engaged in strategic partnerships with a number of industry-leading fintechs, including FIS, Treasury Prime, Narmi, Alloy, Hummingbird and Autobooks to provide a best-in-class banking experience for its clients across all lines of business. These partnerships play a critical role in rounding out the Grasshopper product line, and ensuring that unique solutions exist for any problem a client may present. 

“Expanding into new business lines required us to bring in experts in each field, as well as proven leaders to oversee our daily operations,” said Butler. “Great people make great companies, and in line with our goal of operating like a tech company with a banking charter, we’ve established a team that understands technology in addition to banking – a critical benefit for our clients. Whether it’s small business, tech banking, or anything in between, our clients can be confident that they’re being guided by experienced leaders with deep knowledge of their industry and the challenges they’re facing.”