FundThrough, a Canadian invoice funding platform for small and growing businesses, announced recently it has reached the milestone of funding more than $30 million in client invoices since launching in June 2014.
FundThrough has seen 10 times its new business growth in the past 12 months. With much of the fintech buzz in Canada happening in the consumer lending space, FundThrough has quietly become one of the country’s leading players by focusing on the very real issue of cash flow - a specific pain point of the small and growing business owner that sells to other larger, more established companies. Business owners that land deals with major customers have much to celebrate for their efforts, but often those deals come with payment terms of 30 to 120 days which can put a strain on cash flow and inhibit growth. FundThrough’s unique offering enables customers on its platform to get their outstanding invoices paid in as little as 24 hours with a simple click of a button.
FundThrough’s growth is not just attributed to a growing customer base but also substantial gains in user traction. In fact, more than 85 per cent of FundThrough customers are repeat funders, with each customer already funding invoices on average, 23 times after initial sign-up. But it’s not just frequency that is impressive, more than half of FundThrough’s customers have funded over $200,000 in invoice amounts and more than 20 per cent have funded over $1 million. Importantly, FundThrough can be used equally by companies that sell goods or services with 60 per cent of today’s volume coming from service-based businesses and 40 per cent from those selling goods.
“The real value of FundThrough is that we are eliminating payment terms, so businesses that have worked really hard to deliver a good or service no longer have to wait to get paid,” said Steven Uster, co-founder and CEO, FundThrough. “With us, a business can get onto the platform quickly to get those invoices paid instantly so that it can then use that money to buy more inventory, take on more jobs, pay staff and contractors and focus on growing.”
Whether one-time or ongoing as part of a company’s cash flow management protocol, FundThrough’s service offers business owners quick, worry-free and cost effective access to funds tied up in invoices, based on the end customer’s credit and invoice, not the client’s own credit. This unique approach gives them access to funding that they just can’t get from their current financial institution, and because it’s tied to their own invoices, business owners look at this as a way to fund themselves.
“FundThrough allows small and growing businesses to offer great terms to its own customers but now puts control of when they actually receive those payments back into their own hands,” said Uster. “This levels the playing field so both sides get what’s best for them, and both are better and stronger for it. The most important part of all of this is that our customers continue to tell us about the massive impact that being in control of when they get paid has had, not just on their piece of mind, but on their ability and flexibility to take on new business and grow. That’s what we like to hear.”
As part of FundThrough’s growth strategy, Mitch Solway was recently appointed to the newly-created role of vice president, marketing. Solway who has led marketing growth for a number of Canadian startup successes including Lavalife, FreshBooks, Vidyard and ClearFit will take on a similar mandate of fueling accelerated growth in both the customer base and the company.
About FundThrough
FundThrough, Canada’s #1 invoice funding platform, allows Canadian business owners to eliminate cash flow hurdles to growth by giving them the power and flexibility to get their invoices paid when they want with one click and in as little as 24 hours. Unlike the banks which look at the credit strength of your business, funding is based on the credit strength of your larger or established customer. With FundThrough there are no personal guarantees, no long term contracts, and no limits to how much you can fund. FundThrough funds millions in invoices each month and gives customers the ability to pick and choose which invoices to fund. Find out more at www.fundthrough.com.