On Deck Secures Nearly $100MM in Credit Facility Commitments
On Deck said it has secured nearly $100 million in new debt commitments, which includes an $80 million credit facility jointly led by Goldman Sachs and Fortress Credit 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 working capital solution and to empower Main Street businesses to grow their operations, the company said.
“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.”
On Deck said it 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 ten months.
“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.