LSQ Funding Group, a leading technology-enabled provider of invoice (receivables) financing for small- and midsized businesses, announced that it has received $40 million of capital from Ares Capital Corporation, the largest business development company in the United States, and a leading middle-market direct lender. This $40 million financing is in addition to the more than $100 million investment in April led by Lovell Minnick Partners LLC, a private equity firm that specializes in the global financial services industry.
“I’m thrilled that another high-quality institutional investor is supporting our mission to simplify and streamline access to invoice financing for businesses of all sizes,” said LSQ Funding’s CEO and founder Max Eliscu. “We will use this capital to accelerate our plans, reinventing access to working capital financing for micro, small and midsized businesses alike.”
The investment has the potential to expand over time to support LSQ Funding’s growth strategies, which are differentiated by a decade of technology innovation, credit intellectual property, and bank partnerships. These differentiators have driven operating performance and LSQ’s growth, which exceeded 85 percent in 2014. Over its twenty years of operating history, LSQ has provided more than $10 billion in invoice advances.
“Ares Capital is a well-respected provider of flexible capital, with a proven record of supporting the financing needs of privately-held companies across many different industries,” said LSQ Funding’s Chief Financial Officer Terry Ragsdale. “This capital, in combination with the investment from Lovell Minnick Partners, positions us to further expand our reach in the market.”
LSQ Funding is one of the country’s largest independent accounts receivable financing companies. Founded in 1996 in the Orlando area, LSQ provides specialized accounts receivable financing to growing companies throughout the U.S., offering competitive rates, customized financing arrangements, and personalized service to help them improve profitability and financial security. The company’s proprietary accounts receivable technology enables accounts receivable financing at all levels, ranging from multi-million-dollar corporations to small businesses.