FundThrough, which helps small businesses optimise cash flow by leveraging outstanding customer invoices, has bagged a $50m investment from private equity firm Northleaf Capital Partners.
Funds from the round will enable FundThrough to serve more customers across the US and Canada. This will also help to address the cash flow challenges that will be created after government funding programmes come to an end, it said.
Research from the CFIB claims 50% of small businesses put cash flow as their biggest concern.
Companies can use FundThrough to receive funding for their outstanding customer invoices. Businesses can create a free account, with no need of an annual fee or personal credit check, and choose when to claim money on outstanding payments.
Northleaf managing director Michael Morris said, “FundThough’s mission, to help small businesses succeed by enabling them to control their cash flow, has taken on a heightened degree of importance in this challenging market environment.
“Northleaf is delighted to partner with FundThrough to support the company’s continued growth. We believe this transaction will create significant benefits for both FundThrough and its customers.”
Stephens Inc acted as the financial advisor for the deal.
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