Fundbox has closed on a $50 million funding round aimed at providing more small businesses with the money needed to stay afloat. The round arrives just six months after the company announced a $40 million Series B investment.
Spark Capital Growth led the round, which brings Fundbox’s venture funding total to $108 million in just under a year and a half.
Participating in the new round was Bezos Expeditions, Sound Ventures (Ashton Kutcher and Guy Oseary), and Entrée Capital. Also part of the funding were existing investors Khosla Ventures, General Catalyst, Blumberg Capital and Shlomo Kramer.
Fundbox issues loans to small businesses that operate on invoices. The company pays the full amount of each invoice and waits to collect for 12 weeks. Companies pay a flat fee for the invoice coverage.
Unlike a traditional lender that relies on credit scores and FICO scores, Fundbox uses a company’s own accounting software to determine each individual invoice. Using this method the company can make a funding decision in under 60 seconds and deposit money into a company’s bank account the next day.
Fundbox is currently serving more than 20,000 small businesses and has processed 15 million invoices. The invoices paid have a cumulative value of more than $30 billion.
There are more than 34 billion invoices issued every single year in the United States, marking some huge opportunity for Fundbox to expand in the market.