Merchant Advance Capital, which offers online lending to small and medium-sized businesses, has closed a $30 million debt facility from Comvest Credit Partners, which provides financing solutions to middle-market companies.
Comvest’s credit facilities typically range from $20 million to $100 million for companies with revenues greater than $20 million. The funding to Merchant is being used to refinance existing debt and provide growth capital.
“We’re thrilled to have the support of Comvest in our journey to provide convenient access to working capital for Canadian small businesses,” said David Gens, CEO of Merchant Advance Capital. “In addition to providing us with a significant quantity of institutional capital, Comvest has an incredibly deep understanding of our space, making them an ideal long-term financial partner as we continue to build out our business.”
Launched in 2010, Merchant Advance Capital provides loans to small businesses based on future sales, rather than charging a fixed monthly rate. The company currently has 1,300 clients and $160 million in loans provided.
“Merchant has built an impressive platform with a strong reputation across Canada. We are excited to partner with the Company and look forward to supporting their growth initiatives in the years to come,” said Jason Gelberd, partner at Comvest.