eCapital Corp, a US-based provider of cashflow funding for SMEs in North America and the UK, has announced substantial growth in 2020 and consolidated a total of eight acquired companies into a simplified corporate structure.
Citing its 2020 financial statement, eCapital said it provided customers access to over $4bn in financing across 80 industries in the US and Canada during 2020, and achieved a 66.5% year-on-year increase in gross revenues and a 56% YoY increase in portfolio size.
eCapital said it owed its exponential operational growth in 2020, in part, to its aggressive acquisition strategy, completing four acquisitions in 2020 after completing two in 2019.
The acquired businesses significantly expanded the company’s overall product offerings, geographic reach and client base, it said in a statement.
Marius Silvasan, chief executive of eCapital Corp, said: “Today marks a milestone for our business as we announce the establishment of the newly consolidated eCapital.
“We achieved impressive results in 2020, despite substantial changes in the business landscape caused by the pandemic, by continuing to execute our growth strategy and placing a focus on the consolidation of our people, products and portfolios.
“A combination of proprietary and scalable technology, risk management expertise and asset optimisation are all at the core of our value proposition to our clients: to empower companies by accelerating their access to capital.”
As the traditional banking sector continues to de-risk operations and tightens requirements for providing capital, a gap has arisen in financing SMEs.
Gerber Finance Inc and Paragon Financial Group were acquired in 2017 and 2018 respectively, followed by Accutrac Capital Solutions (February 2019) and eCapital LLC (June 2019), two leaders in the freight factoring industry.
This was followed by Bibby Financial Services (February 2020), the North American operations of BFS, a UK-based independent SME funder with operations in 14 countries. Then Prosperity Funding (June 2020), REV Finance Group (August 2020), and UK-based Advantedge Commercial Finance (November 2020) marking the company’s first foray internationally.
Advantedge Commercial Finance was founded in 2001 and offers invoice factoring, invoice discounting, selective invoice finance and bad debt protection across the UK.