NewComLink, a technology pioneer in retail credit solutions, today announced that it has received $10 million in a Series B round of financing from Austin Ventures and StarVest Partners. The round was led by StarVest and will be used to support aggressive growth as retailers and lenders continue to embrace the NewComLink platform as a high-value alternative to legacy payment solutions.
“NewComLink is transforming the retail credit industry with a technology platform that brings new efficiencies to financing,” said NewComLink Co-Founder and CEO Suneet Paul, a global finance visionary who was a founding executive at Dell Financial Services and was instrumental in building it from ground zero to a large, multi-billion dollar business. “Many of today’s consumers are under-served, to the tune of tens of billions in lost retail sales each year. NewComLink unlocks value by improving consumers’ access to credit at point of need – benefiting retailers, consumers and lenders all at the same time.”
“In aggregate, retailers across all sectors field over 200 million credit applications each year, but on average approximately half of all retail credit applications are rejected at point of need under legacy lender arrangements,” said John Grund, Partner at First Annapolis Consulting. These rejections frustrate consumers and leave billions on the table for retailers and lenders.
NewComLink was co-founded in 2008 by Paul and former Dell Financial Services executive and 25-year retail credit veteran Jim White to address this under-served market. Under Paul and White’s leadership, NewComLink has built an innovative technology platform from the ground-up, filed numerous patents, signed key customers and created an extensive partner network to revolutionize the way consumers access credit.
“Imagine a world where retailers never say no to applicants – driving incremental sales, profits and improving customer satisfaction all at the same time,” said White, who serves as NewComLink Co-Founder and President. “We’ve been laser focused on building the right team and technology, and our proven infrastructure couldn’t be stronger. All the cards are in place, and the next year is going to be a big one for NewComLink.”
“Retail credit is ripe for innovation, and we believe NewComLink is well positioned to radically transform a multi-billion dollar market that touches most American consumers today,” said Laura Sachar, General Partner at StarVest Partners. “By addressing this under-served market, NewComLink is unlocking value for consumers, retailers and credit issuers alike.”
“The entrepreneurs we seek to back often find uncommon opportunity in the midst of a major problem,” said Chris Pacitti, General Partner at Austin Ventures. “Suneet and Jim approached us in late 2008 and made a very strong case for why the global credit crisis and consumer credit contraction would create demand for an innovative technology solution for retail credit. Their well-timed market entry is evidenced by the dozens of retailers and lenders they have already signed. NewComLink stands out as an exceptional startup, and we are very excited about our continued investment.”