How Credit Karma, acquired amid COVID chaos, fared in its first year under Intuit – TechCrunch – .

0
15
How Credit Karma, acquired amid COVID chaos, fared in its first year under Intuit – TechCrunch – .


February 24, 2020, is a day Ken Lin will never forget. The CEO of Credit Karma was about to announce that the company he had founded 13 years earlier was set to be taken over for more than $ 7 billion. Meanwhile, the stock market was in free fall.

“I remember waking up and futures on Dow went down about 600 points because COVID coins were starting to hit the market,” Lin said. “I wake up at 5 am, the Dow Jones is flashing red… and we all wonder, ‘Are we going to do this? “”

“What was a very profitable business for a very long time is suddenly very unprofitable because you can’t pivot on a dime. We had a lot of decisions to make. ” Ken Lin, PDG de Credit Karma

Markets were getting nervous when it became clear that the coronavirus had spread beyond China’s borders as the number of cases increased in Italy and South Korea. The S&P 500 fell 3.5% that day and launched a weeklong mass sell-off of global securities as the WHO warned COVID-19 could soon become a global pandemic.

Needless to say we all agreed it was the right decision [to move forward] and that all the externalities and unknowns at this point were irrelevant, ”Lin said. “So we moved forward and signed and announced the agreement. “

At the time of the deal’s closing – on December 3, a year ago – Credit Karma had seen its business affected by a tightening in credit markets and was forced to cede its tax business after a review by the Ministry of Justice.

But over the next 12 months, Credit Karma, which operates as a primarily independent unit within Intuit, experienced a dramatic rebound in business thanks in part to a reversal in financial markets, but also due to the commercial adoption of its Lightbox decision. engine of creation and acceleration of consumer interest from integrations with Intuit products.

LEAVE A REPLY

Please enter your comment!
Please enter your name here