Led by entrepreneur John Spiers, Rockies Venture Club investors and others, Denver based P2Binvestor, a crowdfunded receivables financing platform, has announced it has raised a Series A investment round of $1.2 million in a combination of equity and warrants. The additional capital will allow P2Binvestor to further expand its software platform plus boost sales, marketing, finance/credit and business operations to meet market demand for crowdfunded receivables financing. This funding follows the company’s August 2012 initial seed investment and is expected to help grow the business to scale.
The P2Binvestor platform offers businesses competitive, efficient access to working capital with the unique marketing benefits inherent in crowdfunding. At the same time it allows investors with whom it has established relationships to buy into a portfolio of business receivables and earn market-based returns.
“Social funding is a fresh, timely way to access working capital and our clients immediately see the benefits of relational, crowd-based funding to their businesses. We are actively looking for companies who are interested in social funding,” said Bruce Morgan, CEO and co-founder, P2Binvestor. “Bank credit remains tight, as illustrated by the fact that 67 percent of small businesses were unable to secure bank loans in the first quarter of last year.1 At P2Binvestor, we are bringing together like-minded entrepreneurs and investors to support and grow businesses while providing investment returns collateralized by business receivables.”
P2Binvestor has taken the popular peer-to-peer (P2P) lending model and applied it to business receivables. P2Binvestor’s innovative people-to-business (P2B) social funding approach offers small business owners competitively-priced working capital loans while offering short-term, asset-backed investment opportunities.
“P2Binvestor is poised to disrupt the $136 billion receivables finance market with crowd-based lending,” said John Spiers, Colorado-based entrepreneur and co-founder of LeftHand Networks and NexGen Storage. “Many emerging and small businesses are challenged to obtain the short-term working capital needed to grow and flourish. I’m thrilled to see P2Binvestor fill this market gap with an innovative approach that provides businesses with an easy, low cost, relationship-driven way to fund operations and support their success.”
The new business was scheduled to showcase their platform today, September 16, at Denver Startup Week at the Tech.
P2Binvestor was founded in early 2012 by the father-daughter duo Bruce Morgan and Krista Morgan along with former E*TRADE financial executive, Todd Mackay. Bruce Morgan, a 30-year technology industry veteran, has led numerous technology and software companies including Spatial Technologies, iTi Corporation and MS3D Technologies. Serving as P2Binvestor’s chief marketing officer, Krista Morgan is an experienced digital marketing executive who has led worldwide campaigns for companies that include Barclays and Coca Cola’s London Olympics campaign. Todd Mackay has advised, grown and led financial technology companies for 20 years and was an officer of E*TRADE during its formidable growth years.