OnDeck, a US-based lender which provides short term working capital loans to small businesses, and which is financed by corporate venturing investors including Google Ventures and SAP Ventures, has received funding commitments for credit facilities totaling over $130m, with participation from universal bank Deutsche Bank, bank-based equipment finance provider Key Bank and venture capital community-focused commercial bank Square 1 Bank.
OnDeck intends to deploy more funding and develop more flexible financing options for small businesses in need of working capital.
OnDeck has raised nearly $300m in equity and debt financing in the last 12 months from investors including Google Ventures and Institutional Venture Partners, as well as $100m in debt led by Goldman Sachs in 2012.
Richard Suhl, senior vice president, Asset Based Lending, Square 1 Bank, said: “OnDeck continues to revolutionize the way small businesses access capital. We’re pleased to partner with a company that shares our mission of supporting entrepreneurs and the small business community, and we look forward to supporting the company’s growth as it evolves and expands its service offerings.”
Rian Emmett, managing director, Lender Finance, Key Equipment Finance, said: “We’re impressed by how effectively OnDeck deploys capital and their commitment to small business owners–it was a natural fit for our structured finance platform.”
Noah Breslow, chief executive officer, OnDeck, said: “Our technology is solving America’s number one small business challenge: access to capital. These credit facilities allow us to broaden our reach to more businesses seeking financing.”