Settle raises $145m from Silicon Valley Bank
SVB, now a division of First Citizens Bank, has provided Settle with the funds to expand its suite of lending products.
Cash flow management platform Settle has secured up to $145m credit facility with Silicon Valley Bank (SVB).
Founded by CEO Alek Koenig in 2019, the San Francisco-based fintech aims to help small businesses simplify bill payments and currently has more than 500 partners.
Designed specifically for e-commerce and consumer brands with a “demanding” inventory and cash conversion cycle, Settle provides an all-in-one platform for the whole payments cycle, from paying vendors to tracking payment status to managing invoices.
“Approximately 80 per cent of small businesses fail because of cash-flow issues. Working capital is, and has always been, the lifeblood of small business, but given the economic climate today, it's become critical to survival,” Koenig said.
“From day one, we have been laser focused on helping e-commerce and consumer brands meet their inventory demands by giving them the tools and support to manage cash flow and obtain access to financing.”
Settle removes the stress of upfront costs for companies when dealing with supply chain issues and inventory shortages.
The company plans to use the funds to support business owners further by developing its suite of lending products to help larger companies and to provide the tools they need to adapt to market conditions.
“Settle has quickly become a leading cash-flow management solution for hundreds of high-growth e-commerce and consumer brands worldwide,” SVB head of warehouse lending and fintech relationship management.
“The company’s growing customer base is a testament to its leadership and innovative model. SVB is excited to support Settle’s continued growth as they provide vital working capital solutions to small businesses.”