Small business financing platform StreetShares has netted a $23m Series B equity round led by Rotunda Capital Partners.
Rotunda supplied $20m to the investment and the remaining $3m came from existing backers including Stony Lonesome Group.
US-based StreetShares is an online lending platform for military members and veterans including small business funding, credit lines and alternatives to VA small business loans. Through the platform, consumers can support companies by investing into veteran business bonds or invest directly to a company.
StreetShares also offers receivables financing and invoicing for government and commercial contracts.
StreetShares CEO Mark L. Rockefeller said, “This injection of capital allows us to continue to provide red-carpet treatment to our very special members— the veteran entrepreneurs, small business owners, government contractors, and impact investors—that make up our country’s next ‘Greatest Generation.’”
Last year, FinTech global reported StreetShares had picked up $10m of its $20m goal, according to a SEC filing. With the Series B round, it brings the company’s total funding efforts to $230m with the company having received a $200m debt round in 2015.
There has been a recent surge in marketplace lending companies raising capital, with this being the eight this week. India-based NeoGrowth and OptaCredit both received funding this week, picking up $47m and $4m, respectively. Online mortgage lending platform Lenda bagged a $5m round this week, as it increased operations to four more US states.
North America dominated the marketplace lending sector last year, with it representing just under 60 per cent of the capital invested in the space.