By Aisling Finn on Tuesday 18 August 2020
The digital bank gave early access to its business accounts to 2,000 users.
Nordic challenger bank Lunar has today launched a new business account and subscription service.
Lunar’s business account will cost €265 per year with further premium options coming in the next few months.
The digital bank says the accounts will be first introduced into its native Denmark, with plans to roll the service out across all other Nordic markets soon.
Ken Villum Klausen, founder and CEO, said: “There is a huge appetite for business accounts, and our ambition is to move up in segments fast.”
“The business product will be one of the big revenue streams in Lunar and we’ve given early access to 2,000 users and close to 90% has been monthly active users and willing to pay the subscription upfront.”
Villum Klausen also added that by charging a fee for its business accounts, Lunar could soon begin exploring lending options for the SMEs on its books and cater for larger companies too.
Jacob Faber, head of Lunar Business and the bank’s most recent hire, said: “Compared to the larger European economies it is a small market, but the Nordics is also one of the world’s most profitable banking markets.”
“No doubt we will see more competition, but for now the defensive Nordic infrastructure requires a Business account that can be easily connected to the public payments setup. That’s why offering national accounts is inevitable to get a strong presence in the local markets.”
Faber joins Lunar from fellow Nordic bank Nordea where he was head of startup and growth.
Lunar has had a stellar 2020 so far, having topped up an already impressive €26m funding round with an additional €20m in fresh capital and the fledgeling digital bank also launched junior accounts for 15-17-year olds.
The digital bank also introduced a simplified trading platform for beginners and partnered with Subaio to launch its subscription management service.
Since 2015, Lunar has amassed over 175,000 users in the Nordics and has offices in Aarhus, Copenhagen, Stockholm and Oslo.