# AtoB Financial Model

AtoB is building financial infrastructure for commercial fleets, starting with a no-fee Visa fleet card for fuel and expanding into payroll, BNPL, and international.

- Canonical: https://finamodel.com/startups/atob
- Excel download: https://finamodel.com/startup-models/atob.xlsx
- Category: Fintech
- Model type: Marketplace / GMV
- Funding round: Series B
- Funding: $155M
- Founded: 2021
- Geography: US (primary); Canada Q1 2022, Mexico Q2 2022, Europe Q4 2022 roadmap [DECK, slide 18].
- Customer: B2B

## About the company

AtoB builds financial infrastructure for commercial fleets, beginning with a no-fee Visa fuel card and expanding toward payroll, buy-now-pay-later, and international payments. The product seeks to modernise a fragmented, high-cost fleet-payment workflow.

The commercial wedge is fuel spend: fleets get payment control and acceptance, while merchants and drivers participate through the card network. Rather than charging membership fees, the business is intended to monetise payment flow and adjacent financial products.

The model should start with active fleets, cards per fleet, fuel spend per card, and net interchange on processed volume. Payroll and BNPL deserve separate schedules, since their revenue, funding requirements, loss exposure, and adoption timing differ from the core card economics.

## What's included

- 5-year monthly revenue build with stage-appropriate growth assumptions
- Full P&L, headcount plan, and operating-expense schedule
- Cash-flow statement, runway, and burn-rate tracking
- Valuation via exit multiple with a DCF cross-check
- Returns analysis with MOIC and IRR
- Unit economics including CAC, LTV, payback, and cohort retention

## Product & value proposition

- Core product: AtoB fleet card, Visa-powered, targeting commercial fleets (trucking companies, drivers).
- Positioning: No fees ever (vs. ~$1K/truck/year for WEX/Fleetcor), competitive fuel discounts, credit access, fuel management software, 24x7 support.
- Pipeline products:
  - Payroll card: mileage-based payroll (ELD telematics integration), earned wage access, FDIC-insured account - Q1 2022 target.
  - Buy Now Pay Later (BNPL): 4–12 week installments on maintenance/tires/insurance (purchases >$500), 0% interest with small fee.
  - International expansion: North America (Canada, Mexico), then Europe.

## Market

- US fleet card market participants:
  - 4.7M OTR and regional trucks
  - 10M+ local and last-mile logistics trucks
  - 97% of fleets operate fewer than 20 trucks
  - 1/3 of fleets don't use any fuel card today (greenfield opportunity)
  - Merchant landscape: 70% of fuel volume through Big 3 (Love's, Pilot Flying J, TA); 30% independents
- Addressable market by product stage (cumulative TAM per roadmap slide):
  - Fleet card (Q3 2021): $180B
  - + Payroll card (Q1 2022): $360B
  - + BNPL (Q2 2022): $450B
  - + International (Q3 2022): $1.3T+
- Annual spend per OTR truck: $60K–$120K
  - Fuel 39%, Payroll 26%, Truck/Trailer Purchase 16%, Maintenance 13%, Insurance 4%, Tolls 1%, Permits 1%
- Tailwinds: 78% growth in urban last-mile deliveries by 2030; 20–40% growth in same-day delivery; 20% of retail online by 2023; 5.3M → 7.2M delivery vehicles (+36%) by 2030

## Revenue model

- Primary (fleet card): Interchange revenue on Visa-card fuel transactions; merchant processing fee (currently charged to small merchants at 3–5% by incumbents - AtoB's angle is to undercut this or share economics). Exact AtoB take-rate not disclosed.
- Secondary (in roadmap):
  - Payroll card: interchange on debit card spend + potential payroll processing fee
  - BNPL: small fee on installment purchases over $500 at 0% interest
- No subscription / membership fees ("No fees ever")
- Credit access mentioned as a feature - implies potential credit/lending revenue (interest or origination fee) but not quantified

## Traction & metrics

- Annualized transaction volumes (weekly bar chart, slide 14):
  - ~$15M - June 2021
  - ~$75M - October 2021
  - ~$500M - March 2022 (forward projection shown on same slide)
  - ~$3B - December 2022 (forward projection)
  - 8x increase in transaction volumes post-Series A annotation
  - Weekly bar chart shows progression from ~$3.6K/week (March 2021) to ~$2.1M/week (October 2021)
- Total business customers (weekly bar chart, slide 15):
  - ~1.2K - June 2021
  - ~10K - October 2021
  - ~30K - March 2022 (forward projection)
  - 8x increase in businesses post-Series A
  - Weekly chart shows progression from 2 customers (Feb 2021) to ~18,256 (October 2021)
- No revenue, gross margin, churn, retention, or CAC/LTV figures disclosed in the deck.

## Unit economics

- Annual spend per OTR truck: $60K–$120K
- Industry incumbent fee burden: ~$1K/truck/year in fleet card fees (WEX/Fleetcor)
- Merchant processing fee (incumbents): 3–5% for small merchants

## Competition / moat

- Incumbents: WEX (NYSE: WEX, $7B market cap), Fleetcor (NYSE: FLT, $20B market cap), US Bank
- Incumbent weaknesses: FTC sued Fleetcor for deceptive fees (August 2021); 1/5 BBB ratings; 4–5% card failure rates; Bloomberg exposé on CEO compensation via hidden fees
- AtoB moat claims: No-fee model; Visa network access; ELD telematics integration enabling mileage-based payroll (unique, mandated for all US trucks since 2016); brand/NPS advantage over despised incumbents
- Regulatory tailwind: FTC action against Fleetcor creates switching opportunity

## Team & funding ask / use of funds

- Co-founders:
  - Vignan Velivala - CEO; Robotics Engineer, Cruise Automation
  - Harshita Arora - Founder/engineer of crypto app featured on App Store
  - Tushar Misra - Early team at Uber India & UberEats Latin America
- Team experience: Uber, Square, Cruise, Amazon, McKinsey, Revolut
- Institutional investors: General Catalyst, Bloomberg Beta, Samsara, Y (YC), Flexport, Original Capital, XYZ, Long Journey, Climate Capital
- Angels: Eric Schmidt, Marc Benioff, Tony Xu (DoorDash), Brian Armstrong (Coinbase), multiple Stripe early members, Ramp founders, Mercury (Immad), Blake (Divvy), Gusto founders, Figma (Dylan), Segment (Peter), Elad Gil, Naval Ravikant, Gokul Rajaram

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## Recommended financial model

- **Archetype + why:** B2B payments / fleet card GMV model with interchange take-rate, evolving toward a multi-product fintech P&L. Core driver is annualized transaction volume (GMV) x net take-rate, layered with customer count x spend per customer. Future products (payroll, BNPL) add fee revenue lines. Closest archetype: **payment network GMV model** (similar to a fleet-card neobank), not a SaaS ARR model - revenue is transactional, not subscription.

- **Forecast horizon & granularity:** 5 years (2021–2026); monthly for Year 1–2, quarterly for Year 3–5. Matches the deck's own forward trajectory projections to Dec 2022 and the product roadmap cadence.

- **Key drivers & assumptions:**

| Driver | Value / Source |
| -- | -- |
| Active business customers, period-start | ~10K (Oct 2021) |
| Customer growth rate (monthly, near-term) | ~20–25%/month based on observed trajectory (1.2K → 10K in ~4 months = ~70% MoM peak, moderating); model at 15% MoM declining to 5% by Year 3 |
| Average annualized spend per customer (GMV/customer) | ~$7,500 annualized (derived: $75M annualized / 10K customers at Oct 2021); OTR trucks at $60–120K/year, but customer base skews small fleets |
| Net take-rate (interchange + fees) | 0.5–1.0% of GMV - typical fleet card interchange is 1.5–2%, net of Visa/issuer splits; AtoB earns merchant-side economics; model at 0.75% base case |
| Revenue per customer per year | ~$56 at base (=$7,500 GMV x 0.75%) - sensitivity case key variable |
| Payroll card launch timing | Q1 2022 |
| BNPL launch timing | Q2 2022 |
| International launch (Canada/Mexico) | Q1–Q2 2022 |
| GMV targets (from deck projections) | $75M Oct '21 → $500M Mar '22 → $3B Dec '22 |
| Payroll card revenue model | Interchange on debit spend + optional payroll processing fee ($5–10/employee/month) |
| BNPL fee | 1–3% origination fee on financed amount (slide 19 says "small fee," no rate given) |
| Gross margin | 60–75% - interchange-based fintech benchmark; no COGS disclosed |
| CAC | $50–150/business customer (direct digital; SMB fleet card comps) |
| Churn rate (monthly) | 2–3%/month (fleet cards have moderate stickiness; no data in deck) |

- **Scenarios (Base / Bull / Bear):**
  - Flex variables: customer growth rate, net take-rate, GMV per customer, churn
  - Bull: GMV hits deck projections ($3B annualized by Dec 2022), take-rate 1.0%, payroll card monetizes Q1 2022
  - Base: GMV at 70% of deck targets, take-rate 0.75%, payroll card 1 quarter delayed
  - Bear: GMV at 40% of targets, take-rate 0.5%, payroll card pushed to Q3 2022, higher churn (4%/month)

- **Required sheets / outputs:**
  1. Assumptions - all drivers, toggleable by scenario
  2. Customer cohort build - monthly new customers, churn, active customer count
  3. GMV build - active customers x avg annualized spend x seasonality
  4. Revenue build - GMV x take-rate by product line (fleet card, payroll, BNPL)
  5. P&L - revenue, gross profit (interchange net of Visa/processing costs), S&M (CAC x new customers), R&D, G&A, EBITDA
  6. Unit economics summary - LTV, CAC, LTV/CAC, payback period
  7. Product roadmap TAM bridge - addressable GMV expansion as each product launches
  8. Scenario toggle - Base / Bull / Bear outputs on a summary sheet

## Frequently asked questions

### Is the AtoB financial model free?

Yes. The AtoB model is a free Excel download with live formulas.

### Can I change the assumptions?

Yes. The workbook is editable and its live formulas recalculate when assumptions change.