Tech Capital, the first asset-based finance company created by a credit union, originated six transactions as of August 2016 for a total of $6.1 million. Another $2.5 million in loans are in the pipeline.
Tech Capital, a subsidiary of TechCU, began providing asset-based loans in late 2015 for companies in need of revolving lines of credit for debt refinancing, equipment purchases or as a supplement to working capital.
“We are pleased that our efforts to promote Tech Capital as Tech CU’s asset-based lending finance company is being well received in the marketplace,” said Joe Anzalone, managing director of Tech Capital.
“Our relationship-centric approach has been successful, as evidenced by our strong pipeline and the quality of the relationships Tech Capital has developed in a relatively short period of time.”
The loans include:
- $1.1 million combined asset-based line of credit and term loan to an enterprise security and risk management company that assess, understands, and manages corporate risk
- $1 million asset-based line of credit to a company focused on sustainable, environmentally-responsible paper supply company
- $750,000 asset-based line of credit to a small, privately-held lumber wholesale company specializing in the sale of western softwoods of varying grades and sizes
- $750,000 asset-based line of credit to a specialist in high-quality consumer electronics
- $500,000 asset-based line of credit to a professional services company focused on the delivery of cost effective, high-value IT and management business solutions
San Jose, CA-based Tech CU is a $2 billion credit union serving more than 75,000 members.