Fundworks Completes a Refinancing of Its Capital Structure of Up to $70 Million
Jul 14, 2021
The Fundworks, LLC, a leading tech-enabled small business finance company, announced the recent closing of a $25 million Credit Facility with a commercial bank and the sale of $20 million of Senior Secured Notes to a group of U.S.-based institutional investors. The Credit Facility is expandable up to a maximum of $50 million, representing a total capital raise of up to $70 million. These transactions refinanced the Company's existing Senior Credit Facility and subordinated debt and provide substantial excess capital to fund the continued growth of its small business funding platform.
"We are very pleased to announce this financing, which will allow us to significantly expand our ability to provide funding to our small business client base," said co-founder and Chief Executive Officer Evan Smiedt. "This new capital strategically positions The Fundworks to be the funder of choice for small businesses as they re-accelerate growth after a difficult and uncertain 2020. Quick access to capital is key for small businesses to succeed and we are very happy to be well-capitalized when our clients need us the most."
"Given the volatile markets and challenging funding environment in our sector, our ability to close these transactions with multiple, large and established financial institutions is a strong endorsement of the The Fundworks and the continued efforts by our employees and partners to put our clients first," said Bradley Smiedt, co-founder and Chairman. "We look at the closing of this financing as a significant next step in the growth and success of our Company."
Brean Capital, LLC served as the Company's Exclusive Financial Advisor and Placement Agent on both transactions.
About The Fundworks:
The Fundworks is a tech-enabled finance platform providing working capital solutions to merchants to grow their businesses, take advantage of short-term opportunities and fund seasonal business fluctuations. The Company's proprietary technology platform makes the opaque, time-consuming process of obtaining capital simple, fast and reliable. Since inception, Fundworks has funded nearly $400 million to over 8,300 small businesses throughout the United States. The Company is headquartered in Van Nuys, California. For more information, please visit http://www.thefundworks.com.
For more information / questions / interview requests / media inquiries, please contact:
Evan Smiedt
Email: [email protected] | Phone: (844) 644-FUND
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Original Source: Fundworks Completes a Refinancing of Its Capital Structure of Up to $70 Million
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