NEW YORK (Reuters) – Nav, a start-up offering small businesses free access to their credit reports, said Monday it raised $ 44 million from investors such as Goldman Sachs Group Inc. (GS.N. ), Point72 Ventures and Experian Ventures (EXPN .L).
Investment funds CreditEase Fintech and Aries also participated in the Goldman Sachs round, announced the two companies.
The Salt Lake City Naval Company plans to use these funds to continue to develop its technology and market its platform to more small businesses, said Levi King, co-founder and CEO of the company, in an interview.
Founded in 2012, Nav aims to make it easier for small businesses to access financing by showing them their credit reports to major credit bureaus and businesses free of charge. Nav's platform also contains a market of more than 100 financing products, such as loans and credit cards, to which small and medium-sized businesses can apply based on their financial health.
"One of the problems of small businesses is that the process of getting funding is painful," King said. "We are able to greatly simplify this task for the business owner."
Similar to Credit Karma, a well-known start-up in consumer finance, Nav earns money through partnerships with credit providers whose products are displayed on its platform.
Nav is part of the growing group of young businesses using technology to provide more user-friendly financial services to small businesses and consumers.
Established financial companies invest millions of dollars in these companies to keep up with new technologies and provide better services to their customers.
Tripp Shriner, a partner in Point 72 Ventures, the venture capital arm of Steve Cohen's Point 72 investment firm, said Nav had a compelling business model, as it also helps credit providers by placing their products in front of creditors. good potential customers.
"It brings value to banks and other financial service providers," said Shriner.
Goldman, Point72 and CreditEase Fintech Investment Fund made their first investment in Nav in 2017.
As part of Goldman's investment, Rana Yared, general manager of the bank's strategic investment group, became a voting director of Nav's board of directors, said the two companies.
Reportage of Anna Irrera and Elizabeth Dilts; Edited by David Gregorio