TORONTO–(BUSINESS WIRE)–FundThrough, a financial technology platform that solves cash flow challenges for growing businesses through prompt invoice payment, today announced the acquisition of the company’s invoice factoring business from BlueVine financial technology. The acquisition accelerates the company’s strategic focus on integrated finance and its expansion efforts in the US market, doubling the number of US customers who will rely on FundThrough to turn unpaid invoices into working capital. All employees of BlueVine’s invoice financing division are joining FundThrough as part of the transaction.
FundThrough has grown 1,071% over the past three years and nearly 300% since last year, funding thousands of B2B clients since the company was founded in 2014. The fintech company has evolved to process more than $120 million in funding per month while being extremely capital efficient, having raised just $25 million dollars of equity since its inception. The acquisition is expected to more than double the number of funding transactions FundThrough completes each year.
Cash flow is the number one problem small businesses face. According to data from QuickBooks, 81% of businesses surveyed said their customers were late with payments more often in 2021 than in previous years, and 89% said late payments were limiting their growth. According to customer data from FundThrough, small businesses wait an average of 60 days for customers to pay their bills. FundThrough solves this problem with its AI-powered funding platform, which generates automated offers for a seamless onboarding and funding experience. Through its technology, as well as key partnerships with companies such as Intuit and Enverus, FundThrough is reducing that wait time by 97% to accelerate access to cash flow for small businesses.
“We are committed to helping small businesses grow and thrive, especially those selling to large customers where long payment terms and lack of financing options hinder a business’s growth,” said Steven Uster, co-founder and CEO of FundThrough. . “BlueVine was one of our biggest competitors in the US market, and with this acquisition we can fulfill our mission on a much larger scale. We look forward to providing BlueVine’s invoice factoring clients with the same responsive, personalized customer service and seamless funding experience that existing FundThrough clients rely on and appreciate.
In addition to accelerating its expansion into the United States, the acquisition also rapidly advances another fundamental FundThrough strategy: to become the leader in integrated finance. The additional scale of new partnerships and distribution relationships acquired through BlueVine – including all BlueVine factoring partners, who have now transitioned to FundThrough – will fuel FundThrough’s goal of being included in the marketplaces workflow, B2B ecosystems and applications where suppliers can request instant payment of their large customer invoices without leaving the workflow. This gives suppliers more opportunities to increase their cash flow and levels the playing field for small businesses selling to large, powerful customers who often impose long payment terms.
Based in Redwood, California, BlueVine provides financial services to small and medium businesses. The company serves the banking and working capital needs of business owners with a suite of products including BlueVine Business Checking, Payments and Line of Credit. Factoring was BlueVine’s founding product.
“Since the launch of BlueVine, we have focused on the financial needs of small businesses and are very proud of what we have been able to accomplish. As we evolve our products and services, we are constantly examining how we can better serve our customers at scale,” says Eyal Lifsthiz, co-founder and CEO of BlueVine. “We have determined that FundThrough is perfectly positioned to serve our factoring clients with the care and individual attention they need and deserve. Our factoring clients will be in good hands with FundThrough.
FundThrough is a leading fintech company that accelerates cash flow and enables growth for small and medium-sized businesses that sell to big customers and wait to get paid. Based in Toronto and operating across North America, FundThrough’s AI-powered invoice financing platform provides B2B businesses with fast, personalized financing offers to get their invoices paid in days – rather than in days. a few months – and get quick access to the money they’ve already earned. For more information, visit fundthrough.com.
BlueVine offers small and medium-sized businesses quick and easy access to financial services designed for them. BlueVine’s advanced online platform offers an intuitive and convenient solution designed to meet the banking and working capital needs of today’s business owners with a suite of products including BlueVine Business Checking, Payments and Line of Credit. Based in Redwood City, Calif., BlueVine has provided small and medium-sized businesses with access to over $14 billion in funding across all products and is backed by leading private and institutional investors including Lightspeed Venture Partners, Menlo Ventures , 83North, Citi Ventures, ION Crossover Partners, SVB Capital, Nationwide Insurance and M12 (Microsoft’s Venture Arm). All lines of credit and term loan products are issued by Celtic Bank, a Utah chartered industrial bank, Member FDIC. Banking services provided by Coastal Community Bank, Member FDIC. For more information, please visit https://www.bluevine.com/ or follow us on LinkedIn and Twitter.