Press Release April 30, 2014
NEW YORK, NY, “ CAN Capital, Inc., the market share leader in the alternative small business finance space, today announced it has provided small businesses with access to $4 billion of working capital during the past 16 years, more than any other company in the space. The company was founded in 1998 by a small business owner and continues to serve the needs of small businesses nationally. CAN Capital has leveraged its proprietary, data-driven models, technology and customer service to cement its position as the most experienced provider of alternate financial services that best understands and serves the needs of small businesses.
CAN Capital works to meet small businesses’ needs at all different stages of their growth. Three out of four eligible customers return to CAN Capital for access to additional capital. The online process allows for efficient access to capital, and approved funds can be wired in as little as two business days from initial approval. Merchants have dedicated relationship managers that work with them through their funding lifecycle.
This is a significant milestone for CAN Capital as it underscores the innovation and technology behind our core models, and is also a great indication of small business growth and expansion; always a good sign for the economy said Daniel DeMeo, CEO of CAN Capital. Furthermore, it means small businesses have further evidence they can rely on CAN Capital, and positions us well to educate them and create a higher awareness of alternative finance options.
According to a CAN Capital survey of over 500 small business owners conducted in April1, sixty percent say gaining access to working capital is quite or extremely challenging. Half (50%) of small business owners surveyed have largely tapped friends and family in order to obtain funding or working capital for their businesses, rather than accessing capital through a financial provider, traditional or alternative.
Seventy-eight percent of respondents said that expansions or purchases of inventory and equipment are the triggers that caused them to seek access to funding. This is an area where CAN Capital has seen robust growth during the past three years as cash flow remains a top concern for small businesses. Since 2011, the company has provided access to $151 million in capital for business needs such as equipment purchases, remodeling and expansions.
To date, CAN Capital has helped more small businesses than any other alternative finance company. It has served more than 55,000 businesses in 840 industries, with a 50 percentage point increase in industries served since founding. CAN Capital’s customer base continues to grow, with a 59 percent increase in total customers over the past three years. The company has also seen an 86 percent increase in funding amounts since 2009 and expects to see continued growth in 2014.
With a focus on predictive data modeling and an acute attention to innovation of new products, CAN Capital continues to be a leader in the alternative finance industry. said Nigel Morris, Capital One co-founder and managing partner at QED Investors. Morris, who sits on CAN Capital’s board as Vice Chairman, added, Hitting this $4 billion mark is just another impressive milestone in CAN Capital’s recent history. Just in the past year, CAN Capital has facilitated over $1 billion and is expected to continue on this blistering pace for the rest of 2014. This accelerating and exciting growth, coupled with CAN Capital’s experience and expertise in the alternative finance space, gives me a great deal of confidence in the company’s short and long term future.
CAN Capital has been named one of the fastest-growing private companies in America by INC. magazine and has been recognized with an American Business Award for Financial Services Company of the Year. Last year, the company rebranded as CAN Capital, strengthening its brand presence in the marketplace. In addition, $33 million in additional funding was co-led by Meritech Capital Partners and Accel Partners while QED Investors and Ribbit Capital increased their investment stake in the company.
DeMeo, adds: As we look ahead over the next several years, what we really want to do is continue to contribute to the growth of small businesses and are looking at expanding our online efforts and exploring new products and offerings.
CAN Capital is on target to provide more than $1 billion of access to capital to small businesses in 2014 alone. Hear the stories behind some of our successful small business customers in CAN Capital’s new Faces of Funding campaign at YouTube.com/cancapital1.
CAN Capital, Inc., established in 1998, is the pioneer and market share leader in alternative small business finance, having provided access to $4 billion in capital for tens of thousands of small businesses in a wide range of locations and different business types.
As a technology-powered financial services provider, CAN Capital uses innovative and proprietary risk models combined with daily performance data to evaluate business performance and facilitate access to capital for entrepreneurs in a fast and efficient way. Its business evaluation model allows it to help small businesses qualify for more money than they could obtain elsewhere.
CAN Capital makes capital available to businesses through its subsidiaries: Merchant Cash Advances by CAN Capital Merchant Services, Inc., and business loans through CAN Capital Asset Servicing, Inc. (CCAS). All business loans obtained through CCAS are made by WebBank, a Utah-chartered Industrial Bank, member FDIC.
1 Percentages are based on the responses collected from a survey of 550+ American small business owners, ages 18 and older using SurveyMonkey and SurveyMonkey Audience. The survey was run between March 31, 2014 and April 8, 2014 by CAN Capital and SurveyMonkey.