(New York, NY) August 23, 2012 –On Deck (www.ondeck.com), the technology-powered Main Street lender, announced today that is has secured nearly $100 million in new debt commitments, which includes an $80 million credit facility jointly led by Goldman Sachs and Fortress Credit Corp. and $17 million of venture debt loans from SF Capital and Lighthouse Capital Partners. This capital gives On Deck increased lending capacity to further advance its industry-leading working capital solution and empower Main Street businesses to grow their operations.
On Deck has transformed small business lending through its proprietary technology that focuses on business performance rather than personal credit scores, fundamentally changing how small businesses are evaluated and opening the door to millions of healthy small businesses that have historically been unable to access the credit they need to grow. Demand for financing through the On Deck platform has surged, with more than $100 million of loan volume delivered in the last 10 months.
“This financing represents a significant milestone for On Deck and allows us to continue to transform the way small business owners access capital,” stated Noah Breslow, chief executive officer, On Deck. “The company’s innovative technology and its disruption of traditional credit evaluation models are reshaping the lending landscape. This credit facility further supports our growth trajectory and allows us to continue to create greater access to capital and transform the way this money is deployed to Main Street.”
This new credit facility and its increased capacity will allow On Deck to continue to lead economic recovery by triggering job growth and bolstering small business health nationwide.
“This new financing marks yet another major milestone for On Deck and will allow us to continue opening up the extremely underserved Main Street business market segment with our proprietary lending platform,” added Howard Katzenberg, chief financial officer, On Deck.
About On Deck
Launched in 2007, On Deck Capital uses data aggregation and electronic payment technology to evaluate the financial health of small businesses and to efficiently deliver capital to a market underserved by traditional bank loans. Through the On Deck Capital platform, millions of small businesses can obtain affordable loans to meet their daily operating and long term goals. The company’s proprietary platform looks deeper into the health of small businesses, focusing on the overall business performance, rather than the owner’s personal credit history. The On Deck system also provides a critically needed mechanism for commercial institutions to efficiently reach and serve the historically underserved Main Street small businesses market.
On Deck Capital is financed by some of the nation’s leading venture capital firms, including SAP Ventures, Contour Venture Partners, First Round Capital, Khosla Ventures, RRE Ventures and Village Ventures.