Press Release June 27, 2013
New York “ June 27, 2013 “ Capital Access Network (CAN), the nation’s largest and most-experienced small business finance specialist, is getting more working capital than ever into the hands of small business owners. In May 2013, the company set a new monthly record by providing America’s small businesses access to $66 million of working capital.
In the first few months of the year, CAN helped thousands of entrepreneurs get access to more than $300 million, a 50 percent increase compared to the same period last year. This strong growth reflects the company’s recent investments in customer experience, marketing and distribution programs. For instance, this year, CAN made million dollar investments in technology enhancements that make it faster and easier for its distribution partners to service small business merchants, and for merchants to find the capital they need to grow.
Small businesses are ready to grow again and need working capital to upgrade equipment, purchase inventory and fund new marketing programs, said Capital Access Network CEO Daniel DeMeo. Banks have been hampered in funding these requests due to outdated risk evaluation tools and the additional pressures brought on by the economic recession. Both directly and through our expansive partner networks, CAN is able to connect small businesses to the capital they need when they need it most. That’s why more partners and small business merchants are choosing to work with us.
Since the company’s inception, CAN has facilitated almost 120,000 fundings, giving small businesses access to more than $3 billion in working capital in the forms of business loans and Merchant Cash Advances. In just three years, the company’s NewLogic Business Loans subsidiary has provided access to more than $400 million in loans. That subsidiary alone is growing an estimated 1.6 times faster than CAN’s closest competitor.
DeMeo attributed his company’s ability to help more small businesses to its highly predictive risk models and award-winning technology platform. CAN’s Daily Remittance Platform„¢ evaluates data from a wide variety of firmographic, banking and credit card processing sources. Many of these variables aren’t even considered in the traditional risk models and processes used by banks and other traditional capital providers. CAN’s approach yields much deeper insights into the inner workings of small businesses, enabling it to facilitate approval decisions based on actual performance rather than the personal credit scores and collateral of the business owners.
As a result, CAN is experiencing its own rapid growth. The company recently expanded its line of credit by $165 million, giving it a total capacity of nearly $500 million. A syndicate of 10 premier financial institutions, including Wells Fargo Capital Finance, Goldman Sachs, Fifth Third Bancorp and Capital One provided the credit line extension. CAN also bolstered its senior leadership team by appointing Capital One co-founder Nigel Morris as the Vice Chairman of its Board of Directors, promoting former Chief Financial Officer DeMeo to Chief Executive Officer, and adding former McKinsey and Capital One executive James Mendelsohn as its new Chief Marketing Officer. All three are accomplished at leading finance companies through periods of rapid growth.
About Capital Access Network, Inc.
Capital Access Network, Inc. (CAN) is the largest and most experienced small business finance specialist for small businesses. CAN’s Daily Remittance Platform and proprietary risk models enable it to evaluate businesses based on their performance, resulting in increased access to capital. Through its subsidiaries, NewLogic Business Loans, Inc. and AdvanceMe, Inc., CAN has given small businesses access to more than $3 billion in working capital over the past 15 years. All business loans obtained through NewLogic are made by WebBank, a Utah-chartered Industrial Bank, Member FDIC. Learn more at www.CapitalAccessNetwork.com.
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