Full-Time
Posted on 7/30/2024
Fintech platform for accessing business capital
Senior
Remote in USA + 1 more
More locations: Remote in Canada
Pipe.com provides a platform that helps small to mid-size businesses access capital quickly and easily. The platform allows businesses to unlock funding with a single click, charging a flat fee that adjusts based on the business's sales. This flexibility makes it suitable for companies with varying income levels. Unlike traditional financing methods that often involve long approval processes and strict requirements, Pipe.com uses secure live data to assess a business's health, ensuring an unbiased approach to capital access. This data-driven method has enabled over 23,000 business owners to obtain funding without giving up equity, as businesses can convert their revenue into upfront capital without personal warrants or covenants. The goal of Pipe.com is to simplify the financing process for entrepreneurs, providing them with a frictionless way to secure the funds they need while maintaining control over their companies.
Company Size
201-500
Company Stage
Debt Financing
Total Funding
$307.4M
Headquarters
Miami, Florida
Founded
2019
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GoCardless, the bank payment company, has launched capital powered by Pipe, to provide direct access to capital financing for its small business customers. The offer is in collaboration with Pipe, a fintech company delivering embedded financial solutions through software and payments partners.Eligible GoCardless customers can now make use of fast, easy-to-access financing, all from within the GoCardless platform. Pipe’s ability to deliver cash advances without the need for personal guarantees or credit checks means that businesses can access capital in as little as one to two business days. This approach is particularly crucial for micro-businesses and ethnic minority owned businesses, many of which may lack the business history or credit scores required in traditional financing. With SMBs accounting for around 60% of employment in the UK, Pipe’s offering has the potential to protect livelihoods in addition to growing the wider economy.The launch of capital powered by Pipe follows a successful pilot programme between the two companies which saw £13.3m advanced to 844 GoCardless merchants in just nine months. This capital has allowed these businesses to invest in growth – enabling them to upgrade equipment, expand services, boost marketing, and strengthen their team – all without the hurdles of traditional funding.Jolawn Victor, Chief Growth Officer at GoCardless, said: “More than half of small businesses suffer from late payments in the UK
Pipe, a fintech company partnering with software platforms to deliver embedded financial solutions for SMBs, today announced its expansion to Canada through a partnership with HouseCall Pro, the go-to software platform for over 45,000 home service companies. Together, the two companies are dramatically improving financial access for the industry by delivering Pipe’s embedded capital through the Housecall Pro platform. The move accelerates Pipe’s strategy of providing capital access to SMBs globally from within the software they already use to run their businesses. With this expansion, Pipe is now live in the U.S., the UK, and Canada, with additional geographies planned in the near future.According to a recent study, 87% of Canadian SMBs are confident in their performance, yet two-thirds struggle with cash flow, and many lack access to capital, hindering their growth and expansion. The situation in Canada is consistent with SMB markets in the United States and the UK, where Pipe Capital is being adopted rapidly to fill the hole left by banks and other traditional capital providers.Housecall Pro offers an industry-leading SaaS operating platform combined with modern financial services to help home service professionals, or “Pros,” run all aspects of their business. Traditionally, businesses like the ones served by Housecall Pro have struggled to access the financing needed to grow —running into long application processes, credit checks, and excessive paperwork
By Punit Dholakia, Global Head of Capital Markets, PipeOver the past few years, several fintechs have closed shop, some after being in business for a very long time. As we look at the years ahead, there’s a paradigm shift in the markets, where neutral rates are expected to be higher. History serves as a reminder to understand why capital-intensive fintechs (whose business model is lending to Main Street in some form) fail and take steps today to ensure a fintech start-up’s longevity.Lower Pricing is not a ProductSeveral fintechs in the past decade have built and scaled similar products with lower pricing being the only differentiator. Assuming “lower cost equals product-market fit” is one of the most common mistakes founders make.Fintechs are most sensitive to rates, and most businesses fail when rates rise unreasonably. However, the recent repricing of rates from 0% to ~5%, while fast, is still not unreasonable from a historical perspective. As inflation started heating up, prudent capital markets fintech teams differentiated themselves from the rest by stress-testing their portfolios and products
The B2B innovation landscape has never been more exciting than right now. Ongoing technological advances are driving a paradigm shift, allowing B2B firms to streamline and digitize nearly every element of their operations — particularly the workflows and processes surrounding B2B payments. As businesses seek more efficient ways to manage payments and working capital, embedded finance is emerging as a transformative force in B2B commerce. Separately, PYMNTS Intelligence’s “2024-2025 Growth Corporates Working Capital Index,” commissioned by Visa, identified the ways businesses are adopting digital solutions to optimize cash flow and drive growth in a competitive global market. The data indicates that over 80% of chief financial officers (CFOs) and treasurers have utilized working capital solutions, marking a 13% increase year over year
Pipe, a fintech company partnering with software platforms to deliver embedded financial solutions for SMEs, and bank payment company GoCardless today announced a partnership to reshape capital access for UK businesses. Under the partnership, Pipe’s customer-friendly capital offering will be accessible via the GoCardless platform, providing simple and seamless capital access for its UK customer base.*Over the past several months, Pipe successfully conducted a pilot program with GoCardless in the UK, and the two companies have agreed to formalize their partnership to bring Pipe’s customer-friendly capital solutions to the broader UK market.“Our partnership with GoCardless in the UK market marks a significant step forward in our mission to empower small businesses worldwide with the financing and services they need to grow and prosper,” said Luke Voiles, CEO of Pipe. “By combining Pipe’s customer-friendly solution with GoCardless’s extensive reach in the UK market, we’re revolutionizing how small businesses access capital and providing them with the financial tools they need to thrive in today’s dynamic economy.”This collaboration follows the launch of Pipe’s embedded capital offering in the United States in May. GoCardless partnered with Pipe after a comprehensive market evaluation, citing Pipe’s impressive pre-approval rate for merchants and its ability to offer capital without personal guarantees. Pipe’s solution stands out in the market for its fast, easy-to-access financing, which requires no credit checks. Its flexible top-ups provide similar benefits to a line of credit, and the streamlined user experience results in higher sign-up conversion rates