Gynger announces that it raised $20 million for its Series A funding. PayPal Ventures led the round, with Gradient Ventures Velvet Sea Ventures BAG Ventures Deciens Capital also participating.
Gynger will use this funding to scale up its team and operations, and accelerate its vision for transforming its embedded finance platform into a full payment solution for buying and trading technology.
Gynger also secured a debt financing facility from CIM, with an agreement for funding up to $100MM. The new facility allows Gynger to scale up its financing of technology expenditures to meet growing customer demand.
Mark Ghermezian commented that “over the last year we have experienced tremendous demand and growth.” We are building a future of flexible funding for all technology. We are delighted to welcome PayPal Ventures to our team as an investor. This will help us push our growth in a new direction.
SaaS is the fastest growing B2B category, with an annual spend of over $900 billion. According to Forrester’s estimates, global technology spending is expected to reach $4.7 trillion in the next year. This growth will be fueled by the rise of generative AI. Gynger has already developed a solution to help businesses finance their technology and software needs.
Gynger’s vision aims to simplify and optimize end-to-end purchasing processes for technology. The company is developing a fully automated, seamless embedded financing platform for both buyers of technology and sellers, which will revolutionize how technology transactions are done today.
“Gynger is changing how businesses buy software,” James Loftus, PayPal Ventures’ Managing Partner, said. Companies from seed stage startups up to enterprise can unlock flexible payments terms on any technology expenses, regardless of the vendors’ terms, making it feasible to purchase tools for growth while also saving cash. We are thrilled to be able to support them on their journey.
Gynger offers a unique solution to businesses that are looking to acquire technology. Companies can purchase software and services using non-dilutive funds.
This allows businesses to optimize cash flow by spreading out payments over flexible terms that suit their budget and growth trajectory. Gynger’s finance platform has already facilitated payment for hundreds of leading tech vendors, including Snowflake and Salesforce. Gynger makes capital more accessible to technology users, allowing them to buy the software they require to scale while still paying according to their terms. Gynger’s clientele includes a wide range of organizations from early-stage companies to pre-IPOs across all industry sectors.
Gynger offers alternative payment methods to software and technology vendors. This allows them to increase sales, improve cashflow, reduce Day Sales Outstanding (DSOs), pull revenue forward, and get paid upfront using Gynger’s embedded finance platform. Vendors can simplify the sale process by offering flexible payment terms.
Gynger uses advanced AI and data analytics in order to approve and underwrite credit faster than any other available financing solution. It automatically detects the technology spend and recommends financing opportunities that best suit both buyer and seller needs. Gynger’s secure payment platform completes the entire end-to-end buying process by seamlessly facilitating transactions.
Gynger is a great partner for businesses that are looking to increase their software expenditures. We are excited to work with the company to help them scale to meet this significant market opportunity.”