MIAMI, April 13, 2021 /PRNewswire/ — eCapital Corp. (“eCapital” or “the Company”), a leading provider of capital solutions for small and medium-sized businesses in North America and the UK, today announced that it has achieved substantial growth in 2020 and consolidated a total of eight acquired entities into a simplified corporate structure.
In its growth spurt in 2020, eCapital provided its clientele with access to more than $4 billion in the financing of 80 industries in the United States and Canada, and also achieved a ~66.5% YoY increase in gross revenue and a ~56% YoY increase in portfolio size.
An alternative capital solutions provider must provide working capital based on the quality of their client’s underlying assets, such as receivables, inventory, equipment, and real estate. eCapital differentiates itself through its ability to quickly identify and optimize its clients’ assets for the greatest value creation in every transaction.
eCapital owes its exponential operational growth in part to its continued aggressive acquisition strategy, completing four acquisitions in 2020 after completing two in 2019. The acquired businesses have significantly expanded eCapital’s overall product offering, geographic reach and customer base. the society.
Marius Silvasan, CEO of eCapital Corp., commented on today’s news, “Today marks an important milestone for our company as we announce the creation of newly consolidated eCapital. We delivered impressive results in 2020 despite substantial changes in the business landscape caused by the pandemic, by continuing to execute our growth strategy and focusing on consolidating our people, products and portfolios . eCapital is today a complete provider of capital solutions for small and medium-sized businesses that need fast and reliable access to cash flow. Proprietary and scalable technology, risk management expertise and asset optimization are at the heart of our value proposition to our clients: empowering companies to accelerate their access to capital. »
As the traditional banking industry continues to reduce transaction risk and tighten capital provision requirements, a gap has opened up in the financing of small and medium-sized businesses. After acquiring Gerber Finance Inc. and Paragon Financial Group in 2017 and 2018 respectively, the company began aggressively executing its acquisition strategy to drive consolidation in what it viewed as a heavily segmented market. This has resulted in the acquisition of six key space players over the past two years.
Accutrac Capital Solutions (February 2019) and eCapital LLC (June 2019) were two industry leaders in freight factoring. These acquisitions added a new vertical and made significant improvements to the company’s internal and customer-facing technology capabilities.
Bibby Financial Services (February 2020), Financing for Prosperity (June 2020), REV Finance Group (August 2020) and Advantaged Commercial Finance (November 2020) increased the overall volume of the trade finance division and strengthened its customer base. The acquisition of British company Advantedge marks the company’s first international foray.
Integrating operations under a consolidated and streamlined corporate structure is a key step in eCapital’s long-term initiative to grow aggressively. The acquired companies now constitute three divisions within this unified corporate structure:
- eCapital trade finance: The team in this division leverages decades of underwriting expertise across more than 80 verticals to provide quality-based working capital across a multitude of assets within each sector. Services offered by the Trade Finance Division include receivables finance, supply chain finance, and import finance, among others.
- eCapital Freight Factoring: This division brings decades of industry-leading experience across the entire trucking supply chain to provide its client base – small independent trucking companies as well as fleets – with the factoring solutions they need to lead their day-to-day operations well and drive overall growth. The division’s products include invoice factoring, line of credit factoring and fuel cards, among others.
- eCapital Asset Based Lending: The Asset-based Lending division, Gerber Finance, specializes in providing bespoke financial solutions by leveraging accounts receivable and inventory assets for businesses that generate between $2 million and $100 million in turnover per year. With extensive experience in inventory lending, the division provides businesses with increased purchasing power that often results in rapid growth and expansion of their customer base. Products offered by the division include asset-backed lending, inventory financing and equipment financing, among others.
eCapital plans to continue to drive growth through add-on and portfolio acquisitions as well as organically for expansion into other geographies. The Company will leverage its industry-leading internal and customer-facing technology platforms to meet the growing demand for financing and to effectively scale the business.
Silvasan concluded, “We have acquired multiple entities over the past four years, each with separate and distinct value propositions that complement the package. By integrating these activities under one corporate structure and building under a centralized leadership framework, we have created an industry-leading organization built at scale. Our products and services provide capital solutions that span multiple asset types and more than 80 vertical industries. We put our flag in the ground to move the industry forward in unprecedented times for small and medium-sized businesses. business community.”
About eCapital Corp.
eCapital Corp. is committed to supporting small and medium-sized enterprises in United States, Canada, and the UK by accelerating their access to capital through financial solutions such as invoice factoring, factoring lines of credit and asset-based lending. Through its Commercial Finance and Freight Factoring divisions and its holding companies Advantedge Commercial Finance Ltd. and Gerber Finance, Inc., eCapital provides capital solutions to a wide range of industries. Situated at Miami, Florida, eCapital is an innovative leader in providing flexible and personalized cash flow to businesses. For more information about eCapital, visit eCapital.com.
The Freight Factoring, Commercial Finance and Asset-Based Lending divisions of eCapital are businesses of eCapital Freight Factoring, Inc., eCapital Commercial Finance Corp. and Gerber Finance Inc., respectively, with their subsidiaries.
Group M Strategic Communications (for eCapital)
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