SAN FRANCISCO, August 19, 2022 /PRNewswire/ — BlueTape, a leading payment and financing provider for the construction industry, today announced the closing of a $50 million debt financing led by Arcadia Fund and one $5 million roundtable led by Chicago Businesses. Other investors include construction industry executives, property developers and Plug and Play Ventures.
This funding gives BlueTape the resources to continue providing payments and financing to the construction industry. BlueTape will increase lending, expand its team and develop new products to help construction companies deal with the country’s housing and infrastructure crisis.
US construction industry market size exceeded $1.3 trillion, made up of more than 3 million small and medium-sized enterprises. Unfortunately, the industry is lagging behind others in technology adoption and has been overlooked by traditional financial institutions. BlueTape combines affordable financing options with easy-to-use accounts receivable and invoice management tools. Construction professionals can use BlueTape Credit to purchase building materials from any supplier and repay over time. BlueTape has also forged a community of construction industry dealers and suppliers who instantly offer BlueTape credit to their business customers. This allows construction suppliers to reduce their risk and improve their cash flow and customer experience.
“We are thrilled to partner with BlueTape to provide affordable, on-demand financing for this industry. With today’s economic uncertainty, BlueTape is needed more than ever to help construction businesses of all sizes operate successfully and thrive” , said Andrew Hallowell, managing director and CEO of Arcadia Funds. “Arcadia is constantly on the lookout for these opportunities, having built a powerful portfolio over the past few years helping similar nimble and innovative lenders like BlueTape make life better with credit.”
Jackie DiMontepartner of Chicago Ventures, said, “Given the team’s experience, we strongly believe that BlueTape is the right company to tackle one of the fundamental hurdles for any construction business. They are leading the way to small businesses in the sector to gain access to capital jobs and benefit from the adoption of new technologies.”
Key Benefits for Construction SMEs
- Convenient financing: Quick access to much-needed financing for building materials keeps existing jobs moving and enables new revenue-generating projects.
- Designed for SMEs in Construction: Higher approval rate for small construction companies than other solutions.
- Repay over time: Helping small businesses manage their cash flow is more critical than ever in times of inflation. BlueTape gives contractors up to 120 days to pay their building material bills.
- Accepted by top building material suppliers nationwide: BlueTape Credit can be used at all construction suppliers that industry professionals use and trust.
- Easy to use: Managing invoices, collecting payments and paying bills with BlueTape on mobile is simple and convenient for construction professionals who are always on the go.
“We’ve had huge demand from construction companies for our services since our launch. Inflation and supply chain disruptions mean builders and contractors need more working capital. With the financing of Arcadia and Chicago Ventures, we can help more construction companies get the financing and payment services they need to weather economic uncertainty and supply chain challenges,” said Yaser Masoudnia, CEO and Co-Founder by BlueTape.
About BlueTape: BlueTape provides financing and payments to companies in the construction industry. Its innovative and easy-to-use payment and financing solutions have transformed payments in the construction industry. BlueTape gives construction professionals a quick and easy way to pay for building materials on the go. All loans on the BlueTape platform are issued by CBW Bank, Member FDIC.
About Arcadia Funds: Arcadia Funds, LLC is a registered investment manager focused on identifying, partnering and providing balance sheet capital to fintech and specialty finance originators. Since its creation in 2012, Arcadia– the advised entities have purchased more than $5.5 billion unsecured consumer loans, secured and unsecured small business loans, and secured specialty auto loans. For more information on Arcadia Funds, please visit arcadiafunds.com.
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SOURCE Blue Tape