Edison Venture Fund Leads $9M Funding for Business Financial Services
Banking - PA.
Edison Venture Fund announced a $9 million investment in Business Financial Services, Inc. based in Raleigh, NC with operations and marketing in Coral Springs, FL. The proceeds will be used to expand marketing and sales and provide shareholder liquidity.
BFS provides cash advances to merchants throughout the United States. The advances are automatically repaid from the merchants' credit card processor.
Chris Sugden, General Partner and Mark Baumgartner, Edison Director Network member, serve on the Board of Directors. Baumgartner is the CFO of another Edison success, Liberty Tax. Ryan Ziegler, Investment Manager, and Orlando Mendoza, Director of Analysis, conducted Edison's due diligence.
"Edison's value-added services and strategic guidance will be instrumental in accelerating our growth," stated Marc Glazer, CEO. "Their financial services experience and current portfolio will help BFS capture larger market share and provide synergy to our company."
"The dedicated management team and innovative business model made BFS the emerging leader in this high growth sector," stated Chris Sugden. "Customers praised their system's consistency and service," added Orlando Mendoza.
Since 1986 Edison has invested in 30 financial technology and services companies. Successful exits include Best Software, Danyl, DPM, E-transport, Edgetrade, Incurrent, Longview Solutions and Princeton Financial. Active portfolio companies include Archive Systems, Billtrust, Blue Cod, Correctnet, Gain Capital, Liberty Tax, Neat Receipts, Portico, Scivantage and Tangoe. www.edisonventure.com
About Edison Venture Fund:
Established in 1986, Edison partners with entrepreneurs, service providers and other financing sources to build successful companies. Edison provides capital and value-added services to expansion stage ($5 to 20 million revenue), information technology businesses. Initial investments range from $5 to 8 million. Edison typically serves as a sole or lead investor in financings up to $10 million. In addition to providing expansion capital, Edison funds management buyouts, recapitalizations, spinouts and secondary stock purchases.
Edison's investment professionals are based in Lawrenceville, NJ, McLean, VA, New York, NY, Needham, MA and West Chester, PA. Industry specialties include application software, communications, financial technology, interactive marketing, healthcare & pharmaceutical IT. Edison's successes include Axent, Dendrite, Gain Capital, InSoft, MathSoft, POMS, VirtualEdge, Visual Networks, Vocus and many other information technology leaders, which have a combined market value exceeding $5 billion. Edison currently has $550 million under management and is actively making new investments. www.edisonventure.com
About Business Financial Services:
Business Financial Services, Inc., founded in 2001 provides business cash advances to small businesses that cannot obtain traditional funding. A business that has been operating for at least 9 months may obtain $3,000 to $500,000. The advance is paid back through a portion of the merchant's credit card sales for an unspecified period of time. www.businessfinancialservices.com
