Digital online lender Prospa
has secured a $20m debt facility from the Australian arm of a US-based commercial finance provider, Partners for Growth (PFG).
Headquartered in Silicon Valley, PFG specialises in lending to growing technology companies and has recently made headlines in Australia by providing funds to Sydney fashion retail start-up GlamCorner.
Ed Bigazzi, CFO of Prospa, was instrumental in the firm’s fundraising strategy. PFG’s funding follows the strategic approach that the fintech has taken since its launch back in 2011.
“Like our small business customers, Prospa requires funding to grow. PFG plays an important role in the market by filling the gap left by the traditional banking industry," said Bigazzi.
“Like us, they take a partnership approach and really took the time to understand our business. They share many of our philosophies about how to build long-term competitive advantages and long-term stakeholder value.”
PFG and Prospa approach finance by filling gaps left in the market by the traditional banks.
In 2015, Prospa became the first small business lender in Australia to develop its own securitisation warehouse structure and gain access to greater volumes of capital than a typical corporate lending facility.
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