Settle lands $240M credit facility to fund product businesses
What's the deal? Settle, a cash flow management platform for product businesses, has secured US$155.3M credit facility from an international financial institution and a New York asset manager. The debt expands the company's lending capacity to serve both larger accounts and small and medium-sized businesses (SMBs).
What's the endgame? Settle offers bill payments, accounts payable automation, invoice tracking, and financing tailored to product-based businesses. The facility lets it extend more working capital to firms it says traditional banks overlook.
By the numbers: The $240 million facility ranks in the top tier of recent raises, placing it in roughly the 70th percentile by amount. Settle has now passed $4 billion in total originations.
This follows US$181.2M revolving credit facility co-led by CitibankDealroom has a profile for this one. Try Dealroom → and AtalayaDealroom has a profile for this one. Try Dealroom → in 2022, and US$93.8M facility from Silicon Valley Bank in 2023.
What they're saying: "This is a huge win, not only for the larger accounts we support but for the SMB space as well," said Alek Koenig, chief executive officer and co-founder. "We continue to see small and medium-sized businesses being overlooked by traditional capital markets, and that is exactly the problem we set out to solve."
Settle's equity backers include Ribbit Capital, Kleiner Perkins, Caffeinated Capital, Stripes, Founders Fund, SciFi VenturesDealroom has a profile for this one. Try Dealroom →, and Citi VenturesDealroom has a profile for this one. Try Dealroom →.
The signal: As conventional lenders favour established firms, alternative financing providers are filling the working capital gap for smaller product businesses — a space where demand continues to outpace traditional supply.
Read more: third-news.com
Image credit: Generated with Gemini
