Finexio Completes $10M Over-Subscribed Funding Round to Grow 'Payments-as-a-Service' for Financial Institutions and Procurement Software Platforms
ORLANDO, Fla., January 5, 2022 (Newswire.com) - Finexio, the fast-growing Accounts Payable (AP) Payments-as-a-Service company, today announced the completion of its double over-subscribed $10 million funding in partnership with new investor Mendon Venture Partners that provided incremental growth capital to meet demand for digital AP business-to-business (B2B) payments services.
Finexio is winning business from top financial institutions eager to provide modern, cloud-based B2B payments technology to meet customer demand for digital payments and lending as embedded finance becomes increasingly in demand. This expansion in serving financial institutions complements how Finexio is already deploying at scale white label payment solutions in many of the leading global procurement and accounts payable software platforms across multiple sectors— including hospitality, healthcare, higher education, manufacturing, and construction.
Ernest Rolfson, Founder and CEO of Finexio said, "Our 'Payments as a Service' platform allows banks to facilitate rich, personalized buyers and supplier interactions, more meaningful virtual card spend take rates, and more payment methods like international and supply chain finance than anything else out there. Finexio's easily integrated payments solution and unique service culture make us highly attractive to financial institutions desiring deep differentiation to compete, win, and retain corporate treasury customers that generate fee income and enable more loan and deposit generation. We're excited to continue supporting banks in their efforts to provide the best modern treasury experience possible for their customers."
Mendon Ventures BankTech Fund, a recently launched fintech fund designed to help regional and community banks find new technology for both investment and deployment, invested $1 million to bring this financing round to $10 million in total. Andrew Marquardt, Founder and Managing Partner of Mendon Venture Partners said, "Finexio presents an exciting opportunity for banks to expand its offerings, better serve existing and new customers, reduce costs, and enhance overall value. Our investment and partnership highlight Mendon Venture Partners' unique approach, thesis, and value-add position serving our bank LPs."
Patriot Financial Partners, Finexio's lead investor, provided additional funding after tracking the company's continued growth throughout 2021. Kirk Wycoff, Managing Partner of Patriot Financial Partners said, "The track record and impact of Finexio continues to impress, especially as it expands further into the embedded finance space and partnering with technology-leading financial institutions. Modernizing and improving the accounts payable payments process across industries still has a long way to go and Finexio will increasingly be a critical solution provider."
"For banks, the payoff from partnering with (tech-savvy) tech-focused funds like Mendon and Patriot offers easy access to leading fintech innovation, large potential investment gains, and significant competitive advantages in their day-to-day operations," Joe Proto, Finexio chairman remarked. "With its seamless integrated payments solution, Finexio stands out as an easy win for banks seeking to upgrade their offerings."
This past August, Banc of California (NYSE: BANC) invested in Finexio to deepen its portfolio of product offerings for its business clients and partner with Finexio to build out payment and related loan and deposit services. The companies intend to roll out a market leading AP B2B payments and working capital offering for both Finexio's and Banc of California's customers by the second quarter of 2022.
Finexio is "AP Payments as a Service" infrastructure company powering many of the world's largest accounts payable and procurement software platforms with a userbase of 150,000 customers, $200 billion in annual B2B AP spend, and over 3 million suppliers. Finexio is the B2B payments platform of choice for software companies and banking institutions looking to launch a turn-key digital payments offering to customers in weeks.
About Mendon Venture Partners
Mendon Venture Partners is a venture capital investment firm focused on the intersection of innovative technology and traditional banks. Mendon Ventures BankTech Fund is dedicated to investing in technologies that predominantly serve incumbent regional and community banks across foundational pillars of financial services including big data/analytics, automation, payments, core banking/processing, and risk/compliance. Mendon Ventures intends to realize and add value through its unique approach, aligned partnerships, rigorous analysis, and trusted advisory role among market participants.
About Patriot Financial Partners
Founded in 2007, Patriot Financial Partners is a private equity investment firm based in Radnor, PA, focused on investments in the community banking sector with a secondary focus on financial services and financial technology firms closely related to the banking sector. Patriot's objective is to seek superior risk-adjusted returns by applying a hands-on, value-added investment model to non-control investments.