Prospa Raises $60M to Fund the Small Business Loan Market
Prospa, Australia’s leading online small business lender, yesterday announced it has secured an additional $60 million in capital for its latest financing round. The proceeds from the capital raising will be used to help fund loans to additional Australian small businesses and support Prospa’s rapid expansion in the local market. The capital raising is the largest to date by an Australian online lender.
The co-investment is led by Carlyle Group, one of the world’s largest private equity firms, Ironbridge Capital, Entrée Capital, Airtree Ventures and high profile private investor David Fite. Prospa’s seed and Series A funder, Entrée Capital, also invested in the round.
The Australian owned and operated small business online lender has helped thousands of Australian small businesses grow since 2011, lending over $70 million to date. With such rapid growth, Prospa has established a name for itself within the FinTech industry in Australia, earning the trust of small businesses and the largest investors in the finance and technology industries.
Beau Bertoli, Joint CEO of Prospa said, “The $60 million capital raising is a great step forward for Prospa. This strategic raising included one of the largest funds and some of the most established technology-focused investors in the world.”
Small businesses make an important contribution to the Australian economy, accounting for approximately 70 percent of the workforce and about half of the value of the economy. “With an estimated $10 billion small business finance market emerging in Australia, we are pleased to be able to service that market by providing small business owners with the funds they need, when they need them, in order to grow their business,” added Bertoli.
Greg Ruddock, Joint CEO of Ironbridge Capital said, “We have looked at many FinTech businesses but Prospa stood out from the crowd as the market leader. We are very excited about investing in Prospa to enable them to continue their rapid expansion as well as help the Australian small business economy thrive. Leveraging technology is key to their growth and we are proud to be the lead investor of this financing round.”
Read the full article in the Sydney Morning Herald.
Prospa is Australia’s leading online small business lender and is committed to helping small businesses access the funds they need to grow. Using a proprietary technology platform and a fast, simple online application process, Prospa can approve loans and provide funding to businesses within 24 hours. Since 2011, the Australian-owned, high growth company has helped thousands of small businesses grow. In 2015, Prospa was recognised as a Telstra Business Awards Start Up Finalist.