Announcements
Quicksilver Capital Secures $15 Million Credit Facility
March 4, 2018
Quicksilver Capital LLC, a leading FinTech provider of financing to small and mid-sized businesses, has announced the closing of a $15 million facility provided by a New York based private investment firm.
“We are pleased to announce this $15 million credit investment, which increases our funding capabilities and is indicative of Quicksilver’s excellent operational and financial execution,” stated Michael Puderbeutel, CEO of Quicksilver Capital. “The new facility, from a leading institutional investment firm, is a validation of the strength of our team, our track record of success and the market reputation that Quicksilver Capital has built.”
Since its founding, Quicksilver Capital has provided more than 18,000 businesses with over $350 million in working capital solutions to grow and succeed. Proceeds from the transaction will be used by the Company to execute its strategic growth plan and accelerate their ability to provide more small and medium sized businesses with access to attractive non-bank financing.
Visit: http://quicksilvercap.com/
Greenbox Capital Renegotiates Its Credit Facility
February 27, 2018
Miami, FL – Greenbox Capital is happy to announce that they have recently renegotiated their credit facility, lowering their interest rate and doubling their funding capacity in the US, Puerto Rico, and Canada.
The journey to this success has not been a straight shot. Just over one year ago, Greenbox Capital suffered internal theft. Some individuals on their staff were back-dooring deals, looking to make a quick buck, and leaving Greenbox to suffer the consequences.
In March of 2017, deBanked reported this internal theft that had dated back to October of 2016. Greenbox launched an investigation, hiring a private investigator and bringing these offenders to justice.
In the midst of this unfortunate circumstance, Greenbox resolved to take a stand for deal security, striving to become the safest funding company to do business with. They’ve executed a strategic network security assessment and have transitioned their controls to that of a banking institution. This assessment was completed in conjunction with the release of their proprietary software, “The Box,” which reduces human interaction with deals, increasing security of merchant sensitive information and security of broker deals.
With the release of The Box in February of 2017, Greenbox has been funding deals faster (and more safely) than ever before, with funding in as little as 24 hours. With some strategic restructuring of the company, i.e., being particularly selective in their hiring process, terminating brokers who create disadvantages for others by manipulating the system, and the release of The Box, Greenbox’s performance has improved exponentially and their credit facility has increased their limits to allow for them to reach their potential in the industry.
Greenbox CEO, Jordan Fein, asserts, “When you reach your potential, you naturally become more attractive and we’re becoming more attractive every day!” With so many positive changes made at every level of the business, 2018 looks bright for Greenbox Capital.
Keith Nason Steps in as New CEO of In Advance Capital
February 21, 2018
In Advance Capital, who has seen steady growth, has announced that Keith Nason stepped in to the role of Chief Executive Officer as of February 3, 2018. This growth includes 163% year over year growth in 2017.
“We are going to be disciplined, develop even stronger relationships with all channels, internal and external, and strive to execute to perfection to produce the absolute best product for all of our clients while assisting small business owners accomplish their dreams,” Nason said.
Nason has spent the last 10 years in risk, credit modeling, and operational leverage, specifically, through various financial institutions and alternative lenders. While previous CEO, Shalom Auerbach, transitions into a Board of Directors role while assisting with strategic initiatives for In Advance, Nason says that he is “excited about the opportunity and appreciative of the trust that the executives of this company has instilled in me”.
Through the efforts of Tom Corliss, Co-Founder and Head of Sales, and the well developed In Advance sales channels, In Advance has been able to maximize valuable relationships through direct consumer and brokerage channels to drive sales opportunities while cultivating strong, profitable relationships.
About In Advance Capital
Founded in 2015, the company provides working capital to small business owners. To learn more, visit http://www.inadvancecap.com or call 646-412-3303.
BFS Capital Secures $175M Revolving Line
February 20, 2018
BFS Capital has secured a new $175 million revolving credit facility from funds managed by Ares Management, L.P. (NYSE:ARES), according to a company announcement. Stephens Inc. acted as financial advisor to the transaction.
ARES is one of the largest global alternative asset managers with $106.4 billion under management. They previously announced a $100 million line for LendingPoint, an online consumer lender.
BFS Capital also recently announced that 2017 was their biggest year yet. They generated more than $300 million in originations for the year.
BFS Capital plans to use the new facility to accelerate the growth of its lending business.
“The market continues to appreciate our small business customer focus,” said BFS Capital CEO Michael Marrache in a prepared statement. “Our strategic partners, such as ISOs, also commend us for our data and underwriting expertise—based on 15 years of financings across multiple economic cycles—which enables us to better anticipate the future performance of our financings.”
Lendr Announces Vegas Contest Winner
February 16, 2018
A Las Vegas contest marketed to ISOs by Chicago-based Lendr was a success, according to the company. Lendr revealed the first prize winner of a Vegas trip for 4 (valued at $7,500) to be iAdvance Now.
One Way Funding and Fast Cash Team won second and third place and cash prizes of $2,500 and $1,500 respectively.
Lendr had marketed the campaign through several channels including deBanked late last year.
Eddie Hamid, iAdvance Now’s president, said “Working with Lendr over the past few months has been an amazing experience.”
“Winning a trip to Vegas was a nice surprise, being rewarded for working with such an amazing team was even a bigger surprise,” Hamid said of their win. “Thank you from the iAdvance Now team, we appreciate all the hard work and efforts Lendr has provided and continues to provide.”
SmartBiz Becomes the Number One Provider of SBA Loans Under $350,000
February 14, 2018
SmartBiz Loans announced today that it was the number one facilitator of SBA 7(a) loans under $350,000 for the 2017 calendar year, surpassing JP Morgan Chase.
“I think the biggest factor [in hitting this milestone] is that we have been laser focused on meeting the needs of small business customers in the U.S.,” SmartBiz CEO Evan Singer told deBanked.
SmartBiz facilitated $329 million in funded SBA 7(a) loans for $350,000 or less for the 2017 calendar year while JP Morgan Chase generated $322 million, putting it in second place. SBA loans (the acronym stands for Small Business Administration) are guaranteed by the U.S. government. Traditional SBA 7(a) loans, which SmartBiz focuses on, are backed by the government 75 to 80 percent, according to Singer, while 7(a) Express loans are only backed 50 percent, making the interest on those loans higher. Previously, SmartBiz was number one in funding SBA 7(a) loans, excluding Express loans. Now it leads in both categories.
The San Francisco-based company was incubated by PayPal and launched in 2010. Originally, it was a consumer credit platform, but then pivoted to the small business space in 2012 and started facilitating SBA loans in 2013, Singer said. The company sold off its consumer business and is now exclusively devoted to facilitating SBA loans, which typically have a repayment term of 10 years for a loan of $350,000 or less.
SmartBiz has made obtaining SBA loans easier for small businesses by making loan underwriting and origination easier for banks. The key has been technology. For instance, Singer said that many banks will not make small business loans for less than $250,000 because it isn’t profitable for them. Banks tell Singer that it takes the same amount of time to underwrite and originate a $200,000 loan as it does for a $2 million loan.
“So what we are focused on is [making] software to help automate the underwriting and origination process for banks so that smaller loans become profitable for them,” Singer said.
So far, this has been working. Singer said the company’s partner banks tell them that they are able to reduce 90 percent of the costs on the retail side when looking at smaller loans. Some of SmartBiz’s partner banks include Celtic Bank in Salt Lake City, UT, First Home Bank in St. Petersburg, FL, and Five Star Bank in Sacramento, CA.
SmartBiz also has an office in Austin, TX and employs a little over 100 people.
Breakout Capital Hires New Chief Marketing Officer
February 14, 2018Small business lender Breakout Capital announced that it has hired James Mendelsohn to be its Chief Marketing Officer. Mendelsohn spent three years working as Chief Marketing Officer at CAN Capital.
“It’s an exciting time to be in the alternative lending space,” Mendelsohn said. “One of the biggest messages that the industry as a whole has to [communicate] is that this is still an underserved market. And that’s part of where Breakout is trying to make a difference – by introducing new products and services so that more small businesses can get access to credit and capital.”
The McLean, VA-based company was founded in 2015 by Carl Fairbank, a former investment banker. The company now has 40 employees.
“James was the perfect fit for where we are in the lifecycle of our business,” Fairbank said. “It’s an enormous addition to the team and sets us up even more favorably for success at faster and safer terms than our peers.”
Breakout Capital offers loans of up to $250,000 to be paid within two years or less. It also provides a product called FactorAdvantage, which helps factoring companies take on new clients. For instance, according to Mendelsohn, if a factor wants to take on a factoring client, but the client has existing MCAs or other loans, Breakout Capital can replace these with a new loan that makes it easier for the factor to advance against the invoices.
“As we continue to emphasize de-risking via a variety of methods, we’ve positioned our most attractive products to scale quickly, such as FactorAdvantage,” Fairbank said, “and James’ arrival couldn’t have come at a more ideal time.”
The majority of Breakout Capital’s leads come from partners including brokers, ISOs and factoring companies, according to Mendelsohn.
Mendelsohn told deBanked that he’s enthusiastic about Breakout Capital’s commitment to innovation.
“The team is very oriented to this mission of how to bring great innovation to the marketplace,” Mendelsohn said. “And I’m excited to get our core products, and new products, into more people’s hands.”
Yalber Obtains $20 Million Credit Facility
February 13, 2018
Small business financing company Yalber has announced the closing of a $20 million credit facility from an institutional credit fund focused on specialty finance and related investments.
Yalber CEO Amir Landsman told deBanked that the money was raised primarily in response to increased demand for capital. The company will use the new credit facility to satisfy customer demand for funding and to continue building out its technology platform.
“This is part of the bigger picture of really looking ahead to the future – to advance technology, marketing and customer service,” Landsman said. “For us, this is just the beginning.”
Yalber was founded in 2007, and until now, it has been self-funded.
The New York-based company derives 90 percent of its leads internally with an in-house sales and marketing team.
“We still work with some ISOs,” Landsman said. “We consider the ISO channel as an important one, but we are quite picky.”
Yalber offers small businesses up to $500,000 and so far it has provided more than 5,000 businesses with over $300 million in working capital.
From its original office in New Jersey, which since moved to New York, Yarber now has offices in Dallas, Los Angeles, San Francisco and London. Most of the company’s 30 employees are based in New York.
With an emphasis on making the application process simpler and faster, and all online, what is the value in having multiple offices?
Landsman told deBanked that by better understanding local business environments, they can make better credit decisions. And having a local office also gives merchants more comfort, knowing that they can speak to someone familiar with their area.
In the decade since Yalber started in the MCA business, CTO Nir Goshen noted how much the industry has grown.
“When I started with Google AdWords [in 2007], when I searched ‘Merchant Cash Advance,’ Google said ‘too little traffic.’ Today, it’s one of the most expensive ad words. The only one I can think of that’s more expensive is ‘insurance.’”
Yalber’s $20 million financing was raised by Brean Capital.
