StreetShares Partners with Farm Bureau Bank

Lendtech StreetShares, which offers business loans of up to $250,000 to US citizens, announced its partnership with rural US Farm Bureau Bank (FBB) to provide small business lending services to Farm Bureau’s six million members nationwide, reports Ruby Hinchliffe of Fintech Futures (Finovate’s sister publication).

StreetShares’ small business lending-as-a-service (LaaS) platform will provide the bank’s small business customers with “a decision in minutes and funding within 24 hours.”

FBB is a full-service digital bank in the US. Now able to offer fully-digital business loan applications with StreetShares’ technology, the bank says it chose the partner on account of its “flexibility and commitment to providing stellar service to underserved populations”.

“Since StreetShares is veteran-run, and we cater to rural America, we knew our values and mission would align with rural Americans’ small business lending needs,” said FFB’s director of national accounts Bob Baker.

By using a LaaS solution, FBB can offer unsecured lines of credit, making its loans faster and more competitive. The bank does not even have to integrate StreetShare’s platform with its core banking software.

“Since implementing the business lending platform, we have been able to expand our offerings and provide our members an innovative solution that meets their unique needs and helps them better manage and grow their businesses,” said Baker, who describes the entire loan process with StreetShares as “incredibly easy.”

Bank members can now apply from the comfort of their own home or office with instant replies and funding. Baker said the integration positions the bank “for continued growth” and “long-lasting relationships” with customers.

SteetShares’ CEO Mark L. Rockefeller said the bank’s adoption of its LaaS will “provide a better customer experience and expand its business lines.” Rockefeller hopes the partnership will bring small business lending to more qualified entrepreneurs across the country.

Founded in 2013 and headquartered in Reston, Virginia, StreetShares demonstrated its lending-as-a-service platform at FinovateFall 2019. The company has raised more than $261 million in funding, and includes Rotunda Capital Partners, Fenway Summer Ventures, and Accion among its investors.

FinovateFall Sneak Peek: StreetShares

A look at the companies demoing live at FinovateFall on September 23 through 25, 2019 in New York City. Register today and save your spot.

The StreetShares platform provides “Lending-as-a-Service” technology to community banks and credit unions, empowering them to offer fully-digital small business loans… up and running in 30 days.

Features

  • Ability to grow and retain small business customers
  • Fully-digital borrower onboarding and management with no core software integration
  • Precision, 100% digital underwriting at the industry’s leading loss rates

Why it’s great
Community banks and credit unions struggle to make small business loans due to costly underwriting and core software integration. StreetShares Lending-as-a-Service technology solves this problem.

Presenters

Mark Rockefeller, CEO
Rockefeller leads the StreetShares team in its mission to help community banks and credit unions offer fully-digital small business loans to America’s main street businesses.
LinkedIn

Sanjay Bhaskar, Vice President, Development and Partnerships
Bhaskar focuses on identifying opportunities for community banks and credit unions to use StreetShares Lending-as-a-Service technology to offer fully digital small business loans.
LinkedIn

Finovate Alumni News

On Finovate.com

  • Namaste Credit Becomes Challenger Bank.
  • Chatbots.Studio Partners with Yozobi. Check them out at FinovateFall later this month!
  • Credit Sesame Raises $43 Million in Advance of IPO.

Around the web

  • Salt Edge marks 400+ integrations with open banking APIs.
  • Payfone teams up with Digital Matrix Systems to help companies fight fraud.
  • Fenergo appoints Louise O’Connell to the newly created role of Chief Customer Officer.
  • StrategyCorps brings on former Geezeo executive, Bryan Clagett.

This post will be updated throughout the day as news and developments emerge. You can also follow all the alumni news headlines on the Finovate Twitter account.

StreetShares to Launch Credit Card for Veteran-Owned Businesses

Business credit cards are big business. That’s why military veteran-focused small business lending platform StreetShares is broadening its focus with the launch of credit cards for military veteran business owners.

StreetShares will market the credit card to the 2.5 million veteran-owned small businesses in the U.S., a niche population the Virginia-based company considers to be underserved. StreetShares anticipates that adding a credit card to their suite of offerings will provide a tool for business owners to finance and pay for everyday expenses.

“Veterans will use their card to do good while doing well,” said Mark Rockefeller, CEO and Co-Founder of StreetShares and an Iraq War Veteran. “Our mission is to be the trusted financial solution for America’s heroes and their communities, and this offering will help us achieve that.”

A portion of the proceeds from every card will support training and educational programs for military veterans and military spouse entrepreneurs. The company expects to make the card available in the second quarter of this year.

Founded in 2013, StreetShares began leveraging Title IV (Regulation A+) of the JOBS act in 2017 to allow unaccredited investors to lend to small businesses. It is now one of only a handful of P2P lending platforms open to unaccredited investors.

At FinovateEurope 2015, StreetShares CEO and Co-founder Mark Rockefeller and COO and Co-founder Mickey Konson showcased the StreetShares platform. Last fall, USAA announced it would use StreetShares to pilot a small business lending program for military veterans.

USAA Taps StreetShares for Small Business Lending

In an industry that too often pits banks against fintechs, it’s good to see the magic of fintech-bank partnerships alive and well. Living that magic is military veteran-focused small business lending platform StreetShares, which is piloting a collaboration with a similarly-focused financial institution, USAA.

Though the pilot is limited to six months, this is a pretty big deal for StreetShares. The four-year-old Virginia-based startup now has access to USAA’s member base of more than 8 million current and former members of the military and their families. Moreover, this is USAA’s first and so far only offering for business loans, a much-requested service.

“Members have been inquiring about business loans and business products from USAA for quite some time,” USAA’s Briana Hartzell explained in the bank’s blog. “So, to better serve member’s needs, USAA is pleased to announce the launch of a limited time pilot offering in collaboration with StreetShares Inc, a veteran-founded, run, and financed company.”

The pilot is open to creditworthy member-owned small businesses that have been in operation for at least one year and have at least $25,000 in annual revenue. Borrowers will have access to StreetShares’ Patriot Express Line of Credit and Term Loan of up to $250,000 with clear, transparent terms.

At FinovateEurope 2015, StreetShares CEO and Co-founder Mark Rockefeller and COO and Co-founder Mickey Konson showcased the StreetShares platform. The company began leveraging Title IV (Regulation A+) of the JOBS act in 2017 to allow unaccredited investors to lend to small businesses. It is now one of only a handful of P2P lending platforms open to unaccredited investors. The company started the year by landing $26 million in funding and earlier this fall relocated to a larger office to accommodate growth. StreetShares now has 47 employees, including 10 veterans.

Finovate Alumni News

On Finovate.com

  • Zenmonics Lands Funding from FIS
  • USAA Taps StreetShares for Small Business Lending

Around the web

  • Studio Bank Selects Baker Hill’s Statement Spreading Solution as Building Block for Future Growth.
  • TechCrunch: Coinbase adds ZRX to Coinbase Pro.
  • Payfone Partners with Orange to Fight Identity Fraud in Four New Global Markets.
  • Earnix and DataRobot Announce a Strategic Alliance.
  • Azimo launches new service to serve SMBs.
  • Jack Henry & Associates named a Top Workplace by The Charlotte Observer for fourth consecutive year.
  • WorkFusion launches RPA Express Pro to complement its AI automation platform and scale 40,000 users of its free RPA product.
  • Geezeo CTO featured on Amazon Web Services video series This is My Architecture.

This post will be updated throughout the day as news and developments emerge. You can also follow all the alumni news headlines on the Finovate Twitter account.

Finovate Alumni News

On Finovate.com

  • Trunomi Closes $3.5 Million Round from CloudScale Capital.
  • Veridium to Power Biometrics for Nordea.
  • Personal Capital Launches Socially Responsible Investing.
  • Coupa Software Teams Up with Tuition.io.
  • Banco Santander to Leverage Ripple Tech to Offer Same Day Mobile International Payments.

Around the web

  • Lend Academy: StreetShares’ Unique Focus Gives Them an Edge in the Small Business Lending Market.
  • Jumio’s Q4 Revenues Up 96% Year-Over-Year.
  • Capital One UK’s use of TSYS Foresight Score with Featurespace wins TCP Award.
  • Xero announces ACH integration with Stripe.
  • Finance Monthly names ACI Worldwide Fraud Innovation Firm of the Year for its UP Payments Risk Management solution.

This post will be updated throughout the day as news and developments emerge. You can also follow all the alumni news headlines on the Finovate Twitter account.

StreetShares Brings in $23 Million in Equity Funding

StreetShares has landed $23 million in equity funding, bringing the company’s total investment to $43 million. This comes just months after the military veteran-focused lending platform closed $10.3 million for its “shark tank meets eBay” approach to small business lending last August.

Today’s Series B round was led by Rotunda Capital Partners, with additional contributions from existing investors, including veteran-focused venture firm, Stony Lonesome Group. In a press release, Mark Rockefeller, CEO of StreetShares said, “This injection of capital allows us to continue to provide red-carpet treatment to our very special members— the veteran entrepreneurs, small business owners, government contractors, and impact investors—that make up our country’s next Greatest Generation.”

The StreetShares platform enables small business owners to pitch their loan requests to a community of investor members. Founded by military veterans, StreetShares is focused on offering financing for small businesses run by military veterans and their families, but serves non-veteran run small businesses, as well. The company offers loans with terms ranging from three to 36 months and lines of credit from $2,000 to $100,000. Investors can lend from $25 to $100,000 in Veteran Business Bonds and earn 5% interest.

StreetShares COO Mickey Konson said that the funding is a “huge step” in the company’s growth. He continued, “StreetShares is proud to fuel this special class of great American small businesses, and our partnership with Rotunda demonstrates that we are just getting started.”

At FinovateEurope 2015, the company’s CEO and co-founder Mark Rockefeller and COO and co-founder Mickey Konson showcased the StreetShares platform. The company began leveraging Title IV (Regulation A+) of the JOBS act in 2017 to allow unaccredited investors to lend to small businesses. It is now one of only a handful of P2P lending platforms open to unaccredited investors.

Finovate Alumni News

On Finovate.com

  • StreetShares Brings in $23 Million in Equity Funding.
  • Wipro Announces Minority Stake Investment in Harte Hanks.

Around the web

  • Invoice Cloud collaborates with PayNearMe to accept cash payments.
  • Reuters: Trading Technologies-Coinbase deal to bridge bitcoin and futures
  • MX and Coast Capital empower members with the Take Charge Money Manager.
  • Fortune: Ripple adds New Partners in Push to Make Case for XRP.
  • Temenos completes migration to core banking platform at EFG International.

This post will be updated throughout the day as news and developments emerge. You can also follow all the alumni news headlines on the Finovate Twitter account.

Finovate Alumni News

On Finovate.com

  • Behalf Teams Up with FinWise Bank to Boost Small Business Lending Options
  • Samsung to Power Biometric Authentication Pilot for Bank of America
  • ACH Alert’s Fraud Prevention HQ Empowers Account Holders to Stop Suspicious Transactions

Around the web

  • PayPal unveils two new innovation labs in India.
  • Albany, New York-based SEFCU chooses Fiserv as technology partner.
  • FICO selects Amazon Web Services as its cloud provider.
  • SF Chronicle profiles mortgagetech innovator, Unison, in feature on downpayment assistance for Bay Area homebuyers. Join them next month in New York for FinovateFall.
  • GoBankingRates highlights AutoGravity, M1 Finance, Venmo, Mint in list of best personal finance apps
  • ID.me hires Julie Filion as Chief Marketing Officer.
  • eMoney Advisor moving into Rhode Island offices, expects to hire 100 by 2020.
  • Flywire Offers Summertime Deal for International Tuition Payments with Mastercard.
  • StreetShares adds Heather Tuason as new Chief Product Officer.

This post will be updated throughout the day as news and developments emerge. You can also follow all the alumni news headlines on the Finovate Twitter account.