Venture Capital Funding for Fintechs Off to a Strong Start
Late March and April were busy months for fintech funding. The year started out very strong for fintech companies and has only grown as the months have gone by. In fact, early-stage companies were able to raise millions of dollars over just a months’ time.
Series A funding rounds were held by Novo, a challenger institution in the field of small-business banking, and the no-code platform provider Unqork. In addition, the stimulation software provider Simudyne and the construction-lending platform provider Built Technologies attracted investments from large banks like Regions Financial, Barclays and Goldman Sachs.
Ever-growing in popularity, artificial intelligence ideas also continue to draw bank support. Online lender Upstart raised $50 million in Series D round. The company also said it could both lower loan loss rate and increase the number of customers underwritten.
At the same time, Extend is building a platform to distribute digital cards by partnering with payment networks and card issuers. Likewise, startup MotoRefi has claimed that it can save consumers $100 a month on vehicle refinancing by connecting them to trusted credit unions and community banks.
Payments Industry Continues to be Transformed
Competition in the payments industry continues to intensify. Meanwhile, traditional banking space continues to struggle in its attempt to recover from its weak state. Since the Great Recession, traditional lending has just not been the same and access to small business financing limited.
For new and established businesses in need of financing, this does not mean the end of your business plans. Your chances of being approved for funding are actually higher than they were just a few years ago, thanks to alternative lenders like First American Merchant.
Through a reputable alternative lender, merchants are able to secure the lowest rates for exceptional financing solutions like a fintech business loan. These providers also offer business funding merchant cash advance iso solutions. Working with a provider like FAM that specializes in the high-risk field and that works with both low risk and hard-to-approve merchants ensures business owners have access to quick and easy working capital.
The payment ecosystem continues to experience major developments that will not be slowing down any time soon. As fintech funding continues to ramp up, make sure your business has all the resources it needs to succeed.
Author Bio: As the FAM account executive, Michael Hollis has funded millions by using business funding merchant cash advance iso solutions. His experience and extensive knowledge of the industry has made him financeexpert at First American Merchant.