Online small business lender Prospa has secured $25m of growth funding from AirTree Ventures, an Australian tech-focused venture capital firm.
The funding will be used for boosting technology, product expansion and distribution, increasing talent acquisition and further building the brand. This all comes at a time when Prospa is delivering significant growth, passing more than $250m in total loans to small businesses in Australia.
The continued interest of investors such as AirTree and the scale of the funding given shows that the industry recognises how difficult it is for small business owners to access finance, said Greg Moshal, founder and joint CEO of Prospa.
“We’re driving a fundamental change in the way two million small business owners in Australia access finance.
“We’ve now provided over 10,000 loans and put over $250m into the Australian small business economy. All the while maintaining our ability to wow our customers, which continues to be proven through a stellar customer satisfaction score of over 90%.”
In addition to reaching this $250m loan milestone, Prospa has also formed strategic partnerships to offer SME loans to Westpac, Reckon and Mortgage Choice customers.
These partnerships are essential to Prospa’s rapid growth and future success, said Beau Bertoli, founder and joint CEO.
“To reach more small business owners, we’ll continue to invest in partnerships with trusted brands who share our values of putting their small business customers first.”
“Small businesses are the driving force of the Australian economy. We’ve solved a huge challenge of access to finance for them by building the best local lending platform, making it faster and easier to get a small business loan than it ever has been.”