OptiFunder

About OptiFunder

Founded in 2018 by Michael McFadden, OptiFunder is a financial technology company that provides a Warehouse Management System (WMS) for the residential mortgage industry. The company's primary clients are independent mortgage originators and warehouse lenders. McFadden, who previously served as a mortgage banker and CFO for a large independent mortgage bank (IMB), identified the need for a more efficient and predictable way to manage warehouse funding expenses, which led to the creation of OptiFunder.

OptiFunder's core offering is a cloud-based platform that automates and optimizes the loan funding process for mortgage originators. It utilizes a patent-pending optimization algorithm, along with artificial intelligence and machine learning, to determine the most cost-effective warehouse line for each loan based on various factors like eligibility, pricing, and the lender's strategic goals. This system integrates with major Loan Origination Systems (LOS) and warehouse lenders' systems, automating tasks from funding requests and collateral shipping to processing investor purchase advices. The company claims its technology can reduce a lender's warehouse expenses by 10-15% and save over 30 minutes of processing time per loan.

In addition to its WMS for originators, OptiFunder launched Greyhound, a modern management system specifically designed for warehouse lenders to enhance efficiency, security, and scalability. The company generates revenue through its software solutions that connect the primary and secondary mortgage markets. OptiFunder has seen significant growth, securing a $25 million Series B funding round in November 2021 led by Arthur Ventures. The company has been recognized on the Inc. 5000 list of fastest-growing private companies.