LendingPoint, a fast-growing Kennesaw, Ga.-based financial technology startup, raised $125 million in an equity investment from Warburg Pincus, according to a Jan. 14 announcement.
The round, which brings its total investments to $325 million, will help LendingPoint expand its financing features for e-commerce, point of sale and financial institution partners. The company also plans to make improvements to its data and technology platform, according to the announcement.
LendingPoint, founded in 2015, provides quick loans to small businesses and consumers based on job and financial history, income and credit behavior, rather than just credit score.
“We continue to build our platform to provide world-class financing and white label solutions,” CEO Tom Burnside said in the announcement. “We are thrilled to partner with Warburg Pincus as we continue to make the investments in data science and technology to better serve our customers.”
Warburg, a New York-based private equity firm, provides growth investing to companies across industries, including in financial services and technology. The firm has active investments in more than 190 companies.
LendingPoint was ranked No. 7 in Atlanta Business Chronicle’s fastest-growing private companies list with a 275% revenue growth rate and a 10% increase in employees from 2017-2019. It’s also been ranked Deloitte’s Technology Fast 500 and Inc. 5000’s list of fast-growing private companies.
LendingPoint ended 2020 profitable, according to the announcement. In 2020, it closed a $350 million warehouse facility, its 10th securitization transaction, bringing its insurance up to $2.14 billion. It also partnered with eBay to provide loans to eBay sellers grow or sustain their e-commerce businesses.
In 2019, the company increased its employees to 300 at its Kennesaw headquarters after another year of growth. LendingPoint also has offices in New York City and San Diego.
