On Deck has announced that they have raised a $17 million expansion for their Series D round led by Google Ventures. PayPal co-founder Peter Thiel and Industry Ventures also participated in this round. On Deck previously closed $42 million in Series D funding led by Institutional Venture Partners (IVP), RRE Ventures, SAP Ventures, and First Round Capital. This brings the total Series D funding to $59 million total. On Deck plans on using the funding for growth, hiring new talent, and developing new products.
“Technology is changing the way lending is done for Main Street businesses, and today’s investment by Google Ventures, Peter Thiel , and Industry Ventures shows that On Deck is on the forefront of this transformation,” stated On Deck CEO Noah Breslow. “Our goal is to power every U.S. small business loan, making capital on demand a reality for this important sector of our economy, and we are steadily on our way to achieving that.”
On Deck helps small businesses get access to capital using an innovative technology platform that leverages information including online banking and merchant processing data to identify the creditworthiness of small businesses in just a few minutes. This helps address the void left by traditional lenders that have failed to deploy small business financing. On Deck has funded over $450 million in loans to “Main Street” businesses.
On Deck can evaluate businesses based on performance data rather than just a personal credit score. Some of the typical businesses that get funding from On Deck includes retailers, restaurants, dentists, florists, etc. These businesses have been open for over a year and has revenues at between $100,000 and $5 million.