Fiat Growth Newsletter #2

Growth Teams Need to Break Rules

Hey it’s Fiat 😄 

Welcome to the Fiat Growth Newsletter. This issue takes 7 minutes to read, but if you only have one, here’s the quick rundown:

• Great Growth Teams Break Rules: Why playing it safe leads to mediocrity and how builder mode can unlock your next big growth moment.

• The Endless Seed Round: How one founder quietly raised $50M while maintaining full control of his board.

• Fintech Meets the NBA: Jersey patch sponsorships—are they just for brand awareness or a legit customer acquisition play?

• Growth Product of the Week: Boardy and their exclusive Money 20/20 community

This issue is brought to you by Fiat Finance.

Activate “Builder Mode”

Great Growth Teams Need to Break Rules

One way to achieve hyper-growth is by challenging conventional strategies, as seen with industry leaders like Uber and Airbnb. Playing it safe or mimicking competitors leads to mediocrity. For companies aiming to become category leaders, thinking outside the box is essential. Successful growth teams don’t just follow best practices—they push boundaries, collaborate deeply with their teams, and tap into customer insights to discover groundbreaking ideas.

Why it worked:

• Zig when others zag: Companies like Uber redefined their markets by offering something entirely different, like luxury rides at high-profile events, instead of competing directly with taxis.

• Customer-driven innovation: Airbnb thrived by creating personal connections between hosts and guests, something hotel chains couldn’t replicate.

• User-powered growth: Dropbox turned its user base into a marketing engine by offering extra storage for referrals, resulting in viral user acquisition.

Takeaway: Being bold and creative, and constantly staying in builder mode, allows growth teams to discover game-changing ideas. The companies that thrive are those that write their own playbook, not just follow the existing one.

How can you apply this strategy? Adopt builder mode by staying in the trenches—engage with your team and customers to uncover your next big growth idea. Be open to pushing boundaries and taking risks. Focus on innovation, collaboration, and agility to keep pace in a constantly changing market. And remember, sometimes thinking creatively can mean trying the unexpected—even a cat meme can give your strategy a spark.

Example action: In your next team meeting, ask for unconventional growth ideas from every department and customer touchpoint. You'll be surprised at the creativity you unlock!

The Power of the Endless Seed Round

Insights from Bennie’s CEO, Matt Straz

Fundraising is about more than just capital—it’s also about maintaining control. Matt Straz, CEO of Bennie.com, shared his unique approach to fundraising, revealing how he quietly raised $50M over a year while keeping control of his board.

"We raised $50M, and yet we still control our board. How did we do it?" Straz explained that most startups lose control of their board after multiple funding rounds, with lead investors typically securing board seats. This can put founders in a vulnerable position, where every board meeting feels like a job interview.

Straz took a different path. Instead of traditional alphabet rounds (Series A, B, etc.), Bennie raised multiple seed rounds—Seed 1, Seed 2, and beyond. This approach helped Bennie avoid the expectation that lead investors would automatically gain board seats, allowing the company to maintain control and keep the board founder-friendly.

Bennie is a global benefits platform that helps employers, employees, and their dependents thrive through a range of modern solutions, including consulting, insurance, coaching, and training. 

Why it worked:

• Flexibility: Seed rounds attract a wider pool of investors, while alphabet rounds often pigeonhole startups into strict growth targets.

• Less dilution: Successive seed rounds allow current investors to reinvest without causing heavy dilution, keeping early supporters engaged.

Takeaway: For founders, raising successive seed rounds can help you retain board control and give early investors more opportunities to double down. The endless seed round might just be a smarter, long-term strategy for growth.

How can you apply this strategy: Consider adopting an incremental funding approach by breaking down your rounds into successive seeds. This lets you tap a broader pool of investors without giving up board control. Stay selective about board seats, focusing on partners who truly add value. Keep flexibility in mind—smaller rounds can help you adjust quickly to market shifts without pressure to hit strict growth targets. And remember, strategic patience can be a game-changer: it keeps early investors engaged and protects your long-term vision.

Shoutout to Matt Straz and Bennie for sharing these insights! Dive into his full breakdown here: Endless Seed

Why Jersey Patch Sponsorships Could Be a Fintech Growth Hack

Ex Chime VP of Finance makes his case

With the NBA season kicking off soon, it’s a great time to explore how basketball ties into fintech. Samir Desai recently shared his insights on the surprising unit economics behind jersey patch sponsorships, making the case for why these deals can be more than just brand awareness for scaled fintech companies.

Samir, who helped structure Chime’s first jersey patch sponsorship with the Dallas Mavericks, explains that these partnerships can serve as a direct user acquisition channel. By leveraging publicly available data, Samir demonstrates how, for the right fintech at the right scale, a jersey patch can yield efficient customer acquisition costs (CAC), comparable to other marketing strategies.

Why it worked:

• Direct CAC potential: Rather than just brand awareness, jersey patches can drive measurable user acquisition.

Data-driven strategy: Evaluating both top-down and bottom-up approaches ensures these deals are ROI-positive for the right fintech.

Takeaway: For fintechs at the right scale, jersey patch sponsorships can be an efficient CAC strategy—not just a flashy marketing move.

How can you apply this strategy: Seek out unconventional sponsorships that align with your brand and actively drive user acquisition. Use data-driven insights to assess CAC impact, ensuring the partnership goes beyond just logo placement. Sometimes, the most unexpected channels become the most effective for growth.

Shoutout to Samir Desai for these insights! Dive into his full breakdown here: Patch Perfect

Growth Product of the Week

Boardy.ai

Head to Money 20/20? Looking to activate strategic partnerships?

Boardy is an AI-powered networking tool designed to connect professionals with relevant contacts instantly, facilitating valuable introductions and insights. 

For Money2020 attendees, Boardy offers a chance to expand networks effortlessly, making connections across fintech, finance, and tech industries, crucial for growth and partnership opportunities. See the exclusive Money20/20 community HERE.

That’s all for this edition. Cheers!

Fiat Growth Team