(New York, NY) January 27, 2011 – On Deck, the first technology platform to connect Main Street directly to capital, announced today it has secured $15 million in a series C financing to support the company’s rapid growth. The round was led by SAP Ventures.
On Deck achieved record results in 2010 and saw a 3X increase in revenue. Founded by Chairman & CEO Mitch Jacobs, On Deck has created a proprietary technology platform to evaluate the financial health of Main Street businesses and efficiently deliver capital to a market that is underserved by traditional bank loans. To date, the On Deck platform has delivered more than $100 million in loans to thousands of Main Street small businesses across the country.
This round of funding will expand On Deck’s industry-changing technology and bolster its nationwide ability to connect Main Street to capital.
“We started On Deck knowing that technology and electronic data would be the key ingredients to connecting Main Street to capital,” said Founder and CEO Mitch Jacobs. “Four years later our system has been completely validated by the $100 million dollars delivered to small businesses. We’re excited to have SAP Ventures, a firm that brings a wealth of business software experience to the table, as a financial investor.”
SAP Ventures is an information technology investor, focusing on industry-leading enterprise products and services. To date, SAP Ventures has invested in more than 100 companies, including LinkedIn, WebEx, MySQL and Red Hat Software.
On Deck also announced that SAP Ventures Managing Director David Hartwig has been named to the company’s Board of Directors.
“On Deck’s combination of proven technology with its dedication to solving the lending crisis on Main Street has fueled its rapid growth,” said SAP Ventures’ Hartwig. “Our investment will help the company continue to grow towards its goal of fundamentally changing the way capital is delivered to Main Street businesses.”
An early investor in On Deck, James D. Robinson III, general partner at RRE Ventures and former chairman and CEO of American Express Company, hailed the round as a critical milestone for the company. “This is a significant investment from a world-class team of venture investors that validates the On Deck system and brings the insights of a highly respected global technology leader.”
To learn more about On Deck, please visit www.ondeck.com. If you are interested in speaking with Founder and CEO Mitch Jacobs regarding small business in America, please contact firstname.lastname@example.org.
About On Deck
Launched in 2007, On Deck Capital uses data aggregation and electronic payment technology to evaluate the financial health of small businesses and to efficiently deliver capital to a market underserved by traditional bank loans. Through the On Deck Capital platform, millions of small businesses can obtain affordable loans to meet their daily operating and long term goals. The company’s proprietary platform looks deeper into the health of small businesses, focusing on the overall business performance, rather than the owner’s personal credit history. The On Deck system also provides a critically needed mechanism for commercial institutions to efficiently reach and serve the historically underserved Main Street small businesses market. On Deck Capital is financed by some of the nation’s leading venture capital firms, including SAP Ventures, Contour Venture Partners, First Round Capital, Khosla Ventures, RRE Ventures and Village Ventures.
About SAP Ventures
SAP Ventures is an independent venture capital firm that invests in innovative and disruptive software and services companies globally. We are focused on growth and later-stage opportunities, with a primary goal of generating outstanding financial return. SAP Ventures is affiliated with SAP AG and brings benefits to all parties by facilitating interaction between portfolio companies, including SAP and its ecosystem of customers and partners. Since 1996 SAP Ventures has had a successful track record of building industry-leading companies by partnering with outstanding entrepreneurs and top-tier venture capital firms. For more information, visit www.sapventures.com. SAP and all SAP logos are trademarks or registered trademarks of SAP AG in Germany and in several other countries. All other product and service names mentioned are the trademarks of their respective companies.
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Jonathan Cutler/Tracy Rubin