Fundbox Grows its way to $50M from Spark Capital, Jeff Bezos & Co.
- Fundbox closes $50M in investments from investors including Jeff Bezos and Ashton Kutcher for their fast growing invoice lending business.
Providing financing to firms backed by their outstanding invoices isn’t a new line of business. But, it is becoming much more efficient with the entrance of new Fintech Fintech Financial Technology (fintech) is defined as ay technology that is geared towards automating and enhancing the delivery and application of financial services. The origin of the term fintechs can be traced back to the 1990s where it was primarily used as a back-end system technology for renowned financial institutions. However, it has since grown outside the business sector with an increased focus upon consumer services.What Purpose Do Fintechs Serve?The main purpose of fintechs would be to suppl Financial Technology (fintech) is defined as ay technology that is geared towards automating and enhancing the delivery and application of financial services. The origin of the term fintechs can be traced back to the 1990s where it was primarily used as a back-end system technology for renowned financial institutions. However, it has since grown outside the business sector with an increased focus upon consumer services.What Purpose Do Fintechs Serve?The main purpose of fintechs would be to suppl Read this Term startups that are introducing methods to automate the invoice review and risk profiling of customers. Like other alternative finance firms such as P2P lending where valuations are growing quickly, fintech startups involved with invoice based credit are also experiencing strong investor demand.
The latest example is an announcement today from Fundbox that they have closed $50 million in new financing. The funding was led by Spark Capital Growth and included participation from Jeff Bezos’s investment fund, Bezos Expeditions, Ashton Kutcher and Guy Oseary’s Sound Ventures, Entrée Capital and previous investors such as Khosla Ventures and Blumberg Capital.
Like other invoice based lending startups, customers connect their accounting software to Fundbox's platform. Fundbox then reviews the firm’s cash flow history to determine their repayment risk and calculates terms for loans based on the outstanding invoices. According to Fundbox, the firm has recently underwritten its 15 millionth invoice and achieved 2x quarter-over-quarter growth for the past seven quarters.
The fast growth has enabled Fundbox to continue attracting new investors, even as the firm raised $40 million this past March. In total, Fundbox has raised $108 million from investors over the company’s lifetime. In regards to the current round, Fundbox has stated that it is targeting the funds to “further invest in innovation and product development” as well as expanding their headcount.
Commenting about the company’s fast growth and the current investment, Eyal Shinar, CEO of Fundbox stated, "The strong market demand for our product, coupled with the interest from the investment community, highlights that Fundbox is solving one of the most significant problems faced by the 29 million small businesses nationwide."
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Providing financing to firms backed by their outstanding invoices isn’t a new line of business. But, it is becoming much more efficient with the entrance of new Fintech Fintech Financial Technology (fintech) is defined as ay technology that is geared towards automating and enhancing the delivery and application of financial services. The origin of the term fintechs can be traced back to the 1990s where it was primarily used as a back-end system technology for renowned financial institutions. However, it has since grown outside the business sector with an increased focus upon consumer services.What Purpose Do Fintechs Serve?The main purpose of fintechs would be to suppl Financial Technology (fintech) is defined as ay technology that is geared towards automating and enhancing the delivery and application of financial services. The origin of the term fintechs can be traced back to the 1990s where it was primarily used as a back-end system technology for renowned financial institutions. However, it has since grown outside the business sector with an increased focus upon consumer services.What Purpose Do Fintechs Serve?The main purpose of fintechs would be to suppl Read this Term startups that are introducing methods to automate the invoice review and risk profiling of customers. Like other alternative finance firms such as P2P lending where valuations are growing quickly, fintech startups involved with invoice based credit are also experiencing strong investor demand.
The latest example is an announcement today from Fundbox that they have closed $50 million in new financing. The funding was led by Spark Capital Growth and included participation from Jeff Bezos’s investment fund, Bezos Expeditions, Ashton Kutcher and Guy Oseary’s Sound Ventures, Entrée Capital and previous investors such as Khosla Ventures and Blumberg Capital.
Like other invoice based lending startups, customers connect their accounting software to Fundbox's platform. Fundbox then reviews the firm’s cash flow history to determine their repayment risk and calculates terms for loans based on the outstanding invoices. According to Fundbox, the firm has recently underwritten its 15 millionth invoice and achieved 2x quarter-over-quarter growth for the past seven quarters.
The fast growth has enabled Fundbox to continue attracting new investors, even as the firm raised $40 million this past March. In total, Fundbox has raised $108 million from investors over the company’s lifetime. In regards to the current round, Fundbox has stated that it is targeting the funds to “further invest in innovation and product development” as well as expanding their headcount.
Commenting about the company’s fast growth and the current investment, Eyal Shinar, CEO of Fundbox stated, "The strong market demand for our product, coupled with the interest from the investment community, highlights that Fundbox is solving one of the most significant problems faced by the 29 million small businesses nationwide."