Now® Secures $29M in New Financing From Brigade Capital Management & Virgo Investment Group To Pay Outstanding Invoices For Small Businesses

By Staff Writer Atlanta Trend

• Oct 30, 2021

Now®, the Atlanta-based FinTech company co-founded by Stacey Abrams and Lara Hodgson, today announced $29M in financing from a new credit facility and an additional equity investment in Now® led by Brigade Capital Management, LP and Virgo Investment Group. The new credit facility will enable Now® to serve more small businesses with its innovative payments acceleration solution, NowAccount®, at a time when the needs of small and diverse businesses have never been greater. The additional equity investment will be used to further scale company operations and to enhance its suite of offerings to meet the evolving needs of its clients as they feel the ongoing effects of COVID-19.

The company also announced that Sejal Shah Gulati has joined Now® as the company’s Chief Growth Officer. Gulati has deep payments experience, having served as General Manager and Vice President, Global Commercial Services - Global Marketing Hub for American Express. Most recently she was SVP and General Manager High Growth Companies and Banking and Capital Markets for Genpact.

“Unpaid invoices are an age-old problem that prevents businesses from growing,” said Gulati. “I’m excited to join the team at Now® as they pioneer innovative solutions to address this issue.”

As the Chief Growth Officer, Gulati will serve on the executive leadership team and will lead Now®’s growth initiatives including sales, marketing, client success and product management.

”Our clients are passionate entrepreneurs committed to the growth of their businesses, and it was essential that we had someone responsible for our own growth with the same level of ambition and dedication,” said Lara Hodgson, CEO and co-founder of Now®. “Her wealth of experience and keen business acumen will be an asset to our company and our clients.”

The new funding comes on the heels of an announced $9.5MM in funding in June of this year, led by Virgo, with participation from Cresset Capital Partners. Since the start of the pandemic in Spring of 2020, Now® has seen increased demand for their services as invoice payment times have ballooned from an average of 48 days to more than 70. Over the last 10 years, the company has facilitated more than $700M in invoice payments, serving more than 1,000 small businesses.

“We decided to partner with Now® because we believe in the future that they’re trying to build,” said Max Scherr, Partner at Brigade Capital Management. “Now® is transforming the way businesses operate, unlocking the potential they have to bolster the American economy.”

”Small businesses often carry tremendous financial burdens, while at the same time accounting for trillions of dollars of B2B commerce annually,” said Hodgson.

“Providing businesses with an invoice payment acceleration solution enables them to access the capital needed to grow their business fearlessly as they serve more customers and engage in more commerce.”