"We don't have billions available to burn a lot of money"

Vivid Money has only been around since 2019. Now the neobank is aiming for profitability.

So far, smartphone bank Vivid Money is still making losses. But that could soon change, according to co-founder Alexander Emeshev. "We estimate that we will reach the first profitability threshold in less than two years, in about 12 to 24 months," he told the German Press Agency. By then, at the latest, the startup would like to cover all its expenses with its current revenues.

However, the costs for possible acquisitions and new products are not included in the forecast. No later than 2025, the growth of Vivid Money should also be profitable. Alexander Emeshev is this step particularly important, as he tells dpa: "From this point on, you no longer need to rely on investor money, because you can stop the paid acquisition and become profitable immediately. So we are only asking for money to accelerate our growth. We don't have billions available to burn a lot of money."

Artem Yamanov and Alexander Emeshev founded Vivid Money in 2019, and the Berlin-based startup's banking app also lets users invest in stocks and cryptocurrencies. They receive cashback for their spending, which grows as their shares increase in value. Vivid does not have its own banking license and uses the services of its partner, Solarisbank.