NerdWallet

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NerdWallet
Nerdwallet Horizontal Logo.svg
Type of businessPrivate
Founded2009
HeadquartersSan Francisco, California
Key peopleTim Chen (CEO; Co-founder)
IndustryPersonal finance, Fintech
Revenue>$100 million (2017)[1]
Employees~350 (2018)[2]
Websitenerdwallet.com

NerdWallet is an American personal finance company, founded in 2009. It offers a website and app that aims to assist users in making personal financial decisions.

History[edit]

NerdWallet was founded in August 2009 by Tim Chen and Jacob Gibson, with an initial capital investment of $800.[3][4] Its first product was a web application that gave comparative information about credit cards.[5] Subsequently, it generated large quantities of content to help boost its search engine results.[6][7] Website traffic grew quickly in 2010[8] and, by March 2014, the website had up to 30 million users.[5] The following year, it raised $64 million in its first round of funding, at an estimated valuation of $500 million.[3][5][9]

In 2016, the company acquired the retirement planning firm AboutLife and NerdWallet was valued at $520 million.[8][10][11] In 2017, company growth slowed, resulting in the layoff of 11 percent of its employees.[12]

Products and services[edit]

The company's goal is to provide information that educates users in making financial decisions.[13] They do so by providing both reviews and comparison of different financial products, including credit cards, banking, investing, loans and insurance.[14] Its web site is directed primarily towards Millennials[5] and provides information on credit card selection, college loans, banking, mortgage loans, stock trading and insurance policies.[15][13]

By May 2015, the company had developed business relationships with eight banks and a dozen insurance companies.[13] In exchange for new customers, affiliated banks pay NerdWallet a success fee.[5] Co-founder Chen reported that the company became profitable by virtue of the fees it earned through matching users with financial products and services.[9]

Administration[edit]

Tim Chen is the CEO and co-founder of NerdWallet and board member at the National Foundation for Credit Counseling.[11][16] The company's "transparent" and "self-critical" management style was reset in 2013, when Chen fired 20% of the workforce and restructured company management into a matrix of communicative leadership.[6]

In March 2014, former LinkedIn VP Dan Yoo replaced co-founder Gibson as chief operating officer and Flo Thinh joined as VP of Talent.[17] By 2015, the company had 200 employees and added Vikram Pandit and James D. Robinson III to its board of advisors.[15][18]

References[edit]

  1. ^ Keefe, Josh (October 17, 2017), NerdWallet CEO on How City Life Changes the Financial Goals of Millennials, International Business Times, retrieved August 18, 2018
  2. ^ Fadulu, Lola (November 17, 2018). "When Losing Your Job Is a Blessing". The Atlantic. Retrieved November 30, 2018.
  3. ^ a b Shieber, Johnathan (May 11, 2015). "Scorching FinTech Market Keeps Attracting New Players As NerdWallet Raises $64 Million". Tech Crunch.
  4. ^ Schultz, Jennifer. "A New Way to Shop for Credit Cards". Bucks Blog. The New York Times. Retrieved 7 January 2014.
  5. ^ a b c d e Tansey, Bernadette. "NerdWallet's Big Ambitions". Xconomy. Retrieved June 28, 2015.
  6. ^ a b Aspan, Maria (February 2016). "The $520 Million Company That's Solving All Your Financial Needs". Inc..
  7. ^ "Interview with Tim Chen, Founder of NerdWallet". Good Financial Cents. April 20, 2010.
  8. ^ a b Huddleston, Tom (May 9, 2018). "After being laid off, this 35-year-old founded NerdWallet with $800 - now it's worth $500 million". CNBC. Retrieved August 18, 2018.
  9. ^ a b McBride, Sarah (May 11, 2015). "UPDATE 1-Startup NerdWallet raises $64 million in first round of funding". Reuters. Retrieved June 30, 2015.
  10. ^ Yeung, Ken (June 28, 2016). "NerdWallet acquires AboutLife to expand into retirement planning services". VentureBeat. Retrieved August 18, 2018.
  11. ^ a b Aspan, Maria (January 20, 2016). "The $520 Million Company That's Solving All Your Financial Needs". Inc.com. Retrieved August 18, 2018.
  12. ^ Dickey, Megan (November 16, 2017). "NerdWallet lays off 11 percent of staff due to missing profitability goals". TechCrunch. Retrieved November 18, 2018.
  13. ^ a b c Hall, Gina (May 12, 2015). "Contributor". Silicon Valley Business Journal. Retrieved June 30, 2015.
  14. ^ "Everything You Need to Know About NerdWallet". www.creditloan.com. Retrieved 2019-08-07.
  15. ^ a b Shieber, Jonathan. "Scorching FinTech Market". Tech Crunch. Tech Crunch. Retrieved June 28, 2015.
  16. ^ Ryssdal, Kai; Purser, Bennett (September 19, 2018). "NerdWallet wants to help you with finance". Marketplace. Retrieved December 6, 2018.
  17. ^ "Former LinkedIn VP Dan Yoo Joins NerdWallet As COO". TechCrunch. Retrieved 25 March 2014.
  18. ^ Halloran, Michael (May 15, 2015). "The Street". The Street. Retrieved June 30, 2015.

External links[edit]