Yellowstone Capital Continues to Reach New HeightsAugust 2, 2015 | By: Sean Murray
An anonymous source inside NYC-based Yellowstone Capital revealed the company had recently reached two milestones. One was that they had funded more than 50,000 deals since inception. The other was that they had funded just a hair shy of $40 million in the month of July, a new internal record.
The monthly figure puts them on pace with their competitor Merchant Cash and Capital, who announced having funded $115 million across the second quarter of this year.
Yellowstone’s $1.1 billion+ funded since inception raised eyebrows at the recent AltLend conference in NYC when Lendio’s Brock Blake put deBanked’s industry leaderboard up on the big screen during the event’s opening presentation.
Since then, other funders have shared their figures through public announcements. Coral Springs, FL-based Business Financial Services officially joined the billion dollar club just a few days ago.
Yellowstone’s continued rise can likely be attributed to the expansion of their risk box from high risk to moderate risk. Back in March, company CEO Isaac Stern led a management buyout backed by a private family office that brought on a new executive team. Private equity turnaround expert Jeff Reece came on as the company’s President. Reece is a former Director of Cogent Partners, a boutique, private equity-focused investment bank and advisory firm.
The company is also reportedly on a massive hiring spree after having leased another floor at 160 Pearl Street in Manhattan.
Yellowstone has a strategically diverse business model that allows them to either fund small businesses in-house (on their own balance sheet) or broker them out to other funders. My source says that the 50,000 lifetime deals funded figure includes both.Last modified: August 2, 2015
Sean Murray is the founder of deBanked, an 11-year veteran of the merchant cash advance industry, a casual Lending Club and Prosper note investor, the co-founder of Daily Funder, an alternative lending speaker, consultant, writer, and enthusiast. Connect with me on LinkedIn or follow me on twitter.