Related Headlines
| 12/07/2023 | Merchant Growth secures $300M FF facility |
| 06/13/2023 | Merchant Growth to fund Loop's SMB deals |
| 10/18/2021 | Merchant Growth secures C$4.1M equity cap |
| 07/19/2021 | Merchant Growth acquires Company Capital |
| 02/16/2021 | Merchant Growth launches LOC product |
Related Videos
Episode 82 - SBA, Capital Raising, Broker Fair News |
Stories
Merchant Growth Partners with goeasy to Provide Funding via Physical Branches
December 11, 2019
This month Merchant Growth, the Vancouver-based alternative finance company, announced its partnership with goeasy Ltd. that will see Merchant Growth’s services being offered in goeasy branches throughout Canada. Beginning with British Columbia, Alberta, and Saskatchewan in 2019, Merchant Growth aims to have expanded to the remaining provinces in the first quarter of 2020.
Under the partnership, goeasy will receive compensation from Merchant Growth for all loans made through them while Merchant Growth will provide the capital.
“goeasy is a unique Canadian success and they’ve done that by being disciplined managers, by putting their customers first, and by building a great reputation for themselves in the industry,” said David Gens, Merchant Growth’s President and CEO. “And what we see in them is an ideal partner in that they have the market reach in terms of brand recognition and locations around the country.”
It is the latter of these factors that make the deal stand out. Given the industry’s standard of digital applications, goeasy and Merchant Growth’s return to brick and mortar branches that offer live human managers, clerks, and even physical paper, marks a turn back towards more historical methods of doing business.
Gens commented on this, stating that “there’s something to be said for face-to-face interactions and for that reason I don’t think you’re ever going to go down to having no bank branches … Having a physical location where you can chat with people about your financial needs is something that will always exist as far as I can see.”
Merchant Advance Capital Rebrands to Merchant Growth
July 3, 2019
Merchant Advance Capital, which trumpets itself as Canada’s fastest and most transparent small business financier, is rebranding as Merchant Growth.
The company has offices in Vancouver, BC and Toronto, ON and was founded in 2009.
“I founded our company out of my apartment 10 years ago,” David Gens is quoted as saying in a company announcement. Gens is the company’s president & CEO. “Back then our mission was simply to provide credit to small businesses, and we did that by providing one product, called a ‘merchant advance’. Today, we offer a comprehensive suite of financing solutions delivered with unparalleled convenience. In doing so, our mission has expanded to allowing business owners to achieve unconstrained growth, while reducing the administrative stress of running a business. As we’ve transformed our focus from one credit product to this far-reaching mission, we felt the need for our name to reflect this. We are Merchant Growth.”
Gens has been an oft-quoted source in deBanked over the years. His company closed on a $30 million debt facility last year with Comvest Credit Partners.
Gens is also speaking at deBanked CONNECT Toronto on July 25, 2019. You can register to attend at www.debankedcanada.com.
Fundfi Merchant Funding Expands Senior Credit Facility to Accelerate Growth in Revenue-Based Financing
April 7, 2025NEW YORK, NY — April 7, 2025 — Fundfi Merchant Funding, a leading provider of revenue-based financing solutions for small and medium-sized businesses, today announced the successful expansion of its senior credit facility. This strategic financial move will enable Fundfi to increase its funding capacity and support more businesses across various industries.
The expanded credit facility strengthens Fundfi’s position in the alternative lending space and allows the company to meet the growing demand for flexible, revenue-based financing options among entrepreneurs and business owners seeking capital without diluting equity.
“This expanded credit facility marks a significant milestone in Fundfi’s journey and reflects the confidence our financial partners have in our business model and growth trajectory,” said Efraim Kandinov, CEO of FundFi Merchant Funding. “By increasing our lending capacity, we can help more businesses access the capital they need to innovate, expand, and thrive in today’s competitive marketplace. Our revenue-based financing approach continues to resonate with entrepreneurs who value flexibility and alignment with their business performance.”
The increased credit facility will enable Fundfi to extend its reach to underserved markets while enhancing its product offerings to meet diverse business needs.
“The expansion of our senior credit facility provides Fundfi with enhanced financial flexibility and improved terms that will directly benefit our clients,” said Natasha Dillon, CFO of FundFi Merchant Funding. “This achievement reflects our strong financial performance, robust underwriting standards, and the growing recognition of revenue- based financing as a viable alternative to traditional funding options. We’re excited to deploy this additional capital to support innovative businesses that drive economic growth and job creation.”
Fundfi’s revenue-based financing model allows businesses to repay their funding as a percentage of future revenues, creating an aligned incentive structure that adapts to business performance. This approach has proven particularly valuable for seasonal businesses and companies with irregular cash flow patterns.
About FundFi Merchant Funding
Fundfi Merchant Funding is a leading provider of revenue-based financing solutions, helping small and medium-sized businesses access growth capital without sacrificing equity or control. With a streamlined application process and flexible repayment terms, Fundfi has established itself as a trusted financial partner for entrepreneurs across various industries and across the United States and Canada. For more information, visit www.fundfimerchantfunding.com.
Fundfi Merchant Funding Expands Services to Canada, Paving the Way for Financial Growth and Innovation
July 11, 2024Fundfi Merchant Funding, a leading provider of innovative financial solutions in the United States, is excited to announce its expansion into the Canadian market. With a proven track record of empowering businesses to achieve their goals through strategic funding, Fundfi Canada Inc. is poised to bring its expertise and dedication to support Canadian enterprises.
The decision to expand into Canada comes at a time when businesses across North America are seeking reliable and flexible financial support to navigate economic landscapes and fuel growth opportunities.
By extending its services to Canadian businesses, Fundfi Canada Inc. aims to bridge the gap between financial needs and solutions, empowering entrepreneurs to thrive in today’s competitive market environment.
The expansion into Canada reflects Fundfi Merchant Funding’s ongoing commitment to innovation, growth, and client satisfaction. By leveraging its extensive experience and deep industry knowledge, Fundfi Canada Inc. aims to become a trusted partner for Canadian businesses seeking reliable and strategic financial support.
As Fundfi Merchant Funding embarks on this exciting new chapter, it invites Canadian businesses to explore the diverse range of financial solutions and opportunities available to them. Whether it’s funding for expansion, equipment upgrades, working capital, or other business needs, Fundfi Canada Inc. is dedicated to helping Canadian businesses thrive and succeed.
For more information about Fundfi Merchant Funding and its expansion into Canada, please visit www.FundfiMerchantFunding.com.
CFG Merchant Solutions Closes Credit Facility of up to $145 Million to Support Small Business Growth
May 29, 2024NEW YORK, NY. May 29, 2024 – CFG Merchant Solutions, LLC (“CFGMS” or the “Company”), a technology-enabled specialty finance and alternative funding provider, announced the successful completion of a $100.0 million senior credit facility. The credit facility is expandable up to an additional $45.0 million, representing a total capital raise of up to $145.0 million. Proceeds from the funding, secured from a prominent, U.S.-based institutional investor focused on private structured credit, will serve to further fuel the Company’s mission to empower and support the growth of small and medium-sized businesses (SMBs).
Since its founding in 2015, CFGMS has a proven track record of asset performance and profitability, and has funded more than $1.4 billion to over 33,000 SMBs across diverse industries throughout the U.S. With the infusion of additional capital, CFGMS will continue to focus on delivering flexible and accessible financing solutions that empower small businesses to seize growth opportunities, create jobs, and contribute to the overall economic prosperity of the communities they serve.
“We are thrilled to have secured this substantial capital raise, as it reaffirms our commitment to empowering small businesses,” said Andrew Coon, Chief Executive Officer of CFGMS. “We extend our heartfelt gratitude to our investors for their continued trust and support. With this new credit facility, we will be able to reach a wider range of small businesses and provide them with the financial resources they need to thrive.”
Bill Gallagher, President of CFGMS, expressed enthusiasm for the future impact of the capital raise, stating, “This new facility will strengthen our position to ensure our small business clients have access to fast and efficient financing solutions tailored to their unique needs. We are excited to leverage this capital to expand our operations and deepen our commitment to empower U.S. small businesses to succeed.”
Brean Capital, LLC served as the Company’s exclusive financial advisor and sole placement agent in connection with the transaction.
About CFG Merchant Solutions
CFG Merchant Solutions (“CFGMS”) is an independent, technology-enabled alternative funding platform focused on providing capital access to small and mid-sized businesses that have historically been undeserved by traditional financial institutions and may have experienced challenges obtaining timely financing. The Company uses its historical transactional data, proprietary underwriting, predictive analytics, and electronic payment technologies and platforms to assess risk, and provide access to flexible and timely capital.
For additional information about the Company, visit: https://cfgmerchantsolutions.com/.
Contact:
Name: Richard Polgar
Title: Chief Financial Officer
rpolgar@cfgms.com
Merchant Cash Advance Diminished by Growth of Payment Technologies
May 15, 2011
Technology will be the end of us all
When bank lending dried up, Merchant Cash Advance (MCA) providers fulfilled the need to keep America’s small business owners going strong. By withholding a percentage of each credit/debit card sale automatically, there was no need to worry about a client’s ability to make payments. Without the risk of late payers or non-payers, MCA providers singlehandedly eradicated credit score from the underwriting guidelines. Or so they thought.
Only a small percentage of businesses in default actually close their doors. Circumventing the MCA provider’s merchant processor or incentivizing customers to pay with cash are issues that have plagued the industry for years. While this would constitute a clear breach in the sale of one’s future receivables, it’s not always a deliberate act of malice. However, there is a direct correlation between the frequency of breaches and *surprise* declining credit score.
But in the instances without malice, such as if damaged POS equipment prevents the flow of processing, there’s not much a MCA provider can do other than help fix it. These gaps in collection affect the bottom line and lead to upward pressure on costs or tighter restrictions on approval, two outcomes that nobody wants.
And as if there already wasn’t a strain, changes in payment technology are quickly eroding the MCA industry’s turf. The credit/debit card sales of a business aren’t exactly limited to one of these:
Now there are options, lots of them. In today’s world you can accept electronic payments with almost anything, a conundrum for MCA providers aiming to collect a percentage of all of it. And how about those routine PCI compliance upgrades? There are countless businesses with a basement full of old credit card machines that could be plugged back in, put back into service, and freely used to circumvent their financial obligations.
Take this clothing retailer for example. She qualified for an advance of only $5,000 but when it came time to convert the merchant account, the process wasn’t so easy:
Nearly all of the transactions conducted inside the store happen through the touch screen POS. The merchant statements reflect consistent historical sales of nearly $4,800 per month, instilling the belief that the future won’t be much different. But when the customer lines get too long, there’s a backup credit card terminal that they pull out from under the counter that still has an active account with a previous processor. Around the holidays, they dig out the old Tranz model terminals from the basement and use them too. For street fairs and trade shows, they attach their Square to their iPhone and process on the go. And when it comes to their website and Ebay, PayPal is their preferred method of payment.
This doesn’t mean the touch screen POS won’t continue to see $4,800 worth of action per month, but the situation doesn’t inspire a lot of confidence if the goal is to collect a percentage of their credit/debit card sales. What if they occasionally use Square inside the store? What if phone orders are punched into PayPal? These things may happen inadvertently or simply because their customers demand it.
To firmly secure a purchase of future sales, the MCA provider would need to do the following:
- Convert the touch screen POS system (which will very likely come with a fee from the POS reseller)
- Reprogram their backup terminal
- Reprogram all the old terminals collecting dust in the basement
- Force the return of the Square and replace it with their own iPhone processing attachment
- Delete PayPal from the HTML of the business’s website
- Instruct them to stop conducting business on Ebay
- Cancel the PayPal account altogether and replace with an authorize.net virtual interface or something equivalent
That’s a lot of effort for $5,000 but doing anything less is a gamble. That’s another reason why MCAs are more expensive than bank loans. Without set fixed payments, they are extremely vulnerable to economic ups and downs and now the explosion of payment alternatives.
Rather than stay ahead, the industry is becoming more fractured as evident by the rise of new funding sources such as Kabbage, that lends against future PayPal sales. It’s innovative but vulnerable. Kabbage depends on the success and status quo of PayPal for survival, a characteristic that is not likely to carry them far. Similarly, MCA providers are dependent on withholding a percentage of future sales, an uneasy task in a world where the point of sale itself is changing.
Innovation in the MCA space has gone as far as automated bank debits and a lockbox. One depends on the merchant’s use of a single bank account and the other is equally exposed to the issues we’ve discussed.
Which of course begs the question: If electronic payments are becoming more elusive to capture, how can the MCA industry survive? The obvious answer is to transform the product itself into a loan. Secure it against collateral and have the credit bureaus at your disposal. Breaches will become far less likely and electronic payments less elusive when there are actual consequences involved. It’s a dreaded word and one MCA representatives have spent years avoiding, but according to the state of California, it’s probably a loan already anyway.
As MCA providers struggle to keep up with payment alternatives, banks are wondering when we’ll all wake up from the “it’s not a loan” euphoria. If the goal is to provide capital and get more back, reprogramming a terminal isn’t going to cut it. How many free hours can America Online offer to bring people back to their dialup internet service? Technology changed and the age of AOL ended. So too may the age of Merchant Cash Advance…. at least in its current form.
– The Merchant Cash Advance Resource
Parafin Funded Over $3 Billion to Merchants in Five Years
October 1, 2026One of the key details revealed in the Stripe acquisition of Parafin is that Parafin originated $3 billion in funding since the company first started originating in 2021. Parafin supplied the financing infrastructure for platforms such as: DoorDash, Amazon, Gusto, SpotOn, Fullsteam, Jobber, and dozens more. Assuming the company experienced a normal growth curve, the company likely exceeded $1 billion in originations over the last 12 months, putting them roughly on pace with what Stripe’s own funding business was producing. deBanked previously estimated that Stripe Capital originated $1 billion in funding in 2025.
When the deal finally closes and Stripe Capital combines with Parafin, the resulting funding entity will rank among the largest online small business lenders in the country. Only Quickbooks Capital, Shopify Capital, OnDeck, and Square Loans will continue to be significantly larger, at least among the companies tracked by deBanked.
Easify Acquired by Israeli Technology Company Tzomtech in Transformative Expansion into Merchant Cash Advance Technology
September 18, 2026Allan Farago Named Chief Executive Officer as Founder Adam Schwartz Steps down; Acquisition Launches Ambitious Strategy to Build a Comprehensive Technology Platform for the MCA Industry
NEW YORK, NY — SEPTEMBER 18, 2026 — Easify, a fintech technology platform serving the merchant cash advance (MCA) and financial services industries, today announced its acquisition by Tzomtech Technologies, an Israeli technology company focused on innovation, scalable technology and growth-driven solutions for the financial services sector.
The acquisition represents a significant milestone for Easify and marks the beginning of an ambitious new chapter for the company. With the combination of Easify’s existing communications, CRM, automation and SMS technology with Tzomtech’s technology resources and strategic vision, the companies intend to build a comprehensive technology ecosystem designed specifically for the merchant cash advance industry.
As part of the transaction, Allan Farago has been named Chief Executive Officer of Easify, succeeding founder Adam Schwartz, who will step down as the company moves into its next phase of growth.
A New Era for Easify
Founded to provide MCA businesses with the technology needed to communicate with merchants and manage their businesses more efficiently, Easify has developed an all-in-one platform incorporating SMS, voice, automation and CRM capabilities.
The acquisition by Tzomtech is expected to dramatically accelerate that vision.
Under Farago’s leadership, Easify will expand beyond its traditional CRM and communications capabilities into underwriting, financial data analysis, automation and additional technologies designed to support the entire MCA funding lifecycle.
The company’s vision is to connect the critical components of an MCA operation—from lead generation and merchant communication to financial analysis, underwriting, customer management and ultimately funding—within a unified technology ecosystem.
Transforming MCA Technology
A key component of the company’s expansion is easify.net, Easify’s emerging bank-statement analysis and underwriting platform.
The technology is designed to analyze merchant bank statements and produce funder-ready underwriting information, including transaction-level extraction, true monthly revenue, average daily balances, NSF activity, negative days and existing MCA positions. The platform also incorporates secure bank connectivity, merchant statement-upload capabilities and CRM integration.
The combination of Easify and Tzomtech is intended to take these capabilities considerably further.
Rather than relying on disconnected systems for marketing, communications, CRM, financial analysis and underwriting, the companies envision a technology platform that allows an MCA business to capture a lead, communicate with the merchant, collect financial information, analyze the business, identify existing positions, underwrite the opportunity and manage the transaction—all within an integrated technology environment.
Adam Schwartz: “The Opportunity Became Much Bigger”
“Building Easify has been one of the most rewarding experiences of my career,” said Adam Schwartz, Founder of Easify. “We built the company around a simple idea: give the MCA industry better technology. What became clear was that the opportunity was much bigger than CRM and communications. The industry needs an integrated technology infrastructure.”
“Tzomtech brings the technology resources, vision and scale necessary to pursue that opportunity. This acquisition allows Easify to enter an entirely new phase, and Allan is the right person to lead that expansion. I couldn’t be more excited about what comes next.”
Allan Farago: “We’re Building the Infrastructure of the Industry”
“This acquisition is about much more than changing ownership,” said Allan Farago, Chief Executive Officer of Easify. “We’re building a technology company with a much larger vision for the MCA industry.”
“Our goal is to bring together communications, CRM, automation, financial data and underwriting into a single technology ecosystem. We believe the MCA industry is ready for a fundamental technology transformation, and Easify intends to be at the center of it.”
Tzomtech’s Strategic Vision
The acquisition provides Easify with the opportunity to accelerate technology development, expand its capabilities and pursue strategic partnerships throughout the merchant cash advance and financial services sectors.
Tzomtech’s approach combines Israeli technology innovation with the rapidly evolving U.S. alternative-finance market, creating a platform designed around the specific operational requirements of MCA brokers, funders and lenders.
The companies’ long-term objective is to establish Easify as a core technology infrastructure provider for the MCA industry, with an expanding suite of products supporting businesses from the initial merchant lead through underwriting, customer management and funding.
A Significant New Chapter
The acquisition marks the beginning of a broader transformation for Easify and its customers.
With Farago assuming the role of CEO and Tzomtech providing the strategic technology platform for the next stage of growth, Easify plans to accelerate product development, expand its technology capabilities and introduce new solutions designed specifically for the MCA ecosystem.
The objective is clear: build the technology infrastructure that powers the next generation of the merchant cash advance industry.
About Easify
Easify is a fintech-focused SMS marketing, communications and CRM platform serving the merchant cash advance and financial services industries. The platform provides SMS, voice, automation and CRM capabilities designed to help businesses manage customer acquisition and engagement. Easify is expanding into bank-statement analysis and MCA underwriting technology through easify.net.
About Tzomtech Technologies
Tzomtech Technologies is an Israeli technology company focused on innovation, scalable technology and growth-driven solutions for financial services and other high-growth industries. Through strategic technology development and acquisitions, Tzomtech seeks to build next-generation platforms that transform how businesses operate and compete in rapidly evolving markets.
See Post... merchant growth, sharpshooter funding, thinking capital... |
See Post... merchant growth, greenbox capital, , https://debanked.com/canada/directory/... |
