Viola Credit closes $700M fund to provide asset-based lending FinTech startups

The $700 million fund was closed by Viola Credit, which provides asset-based lending capital to FinTech, PropTech, and InsurTech.

Think again if this play reminds you of Silicon Valley Bank. Corporate lending is provided by the latter. The lending capital is provided by Viola. For a company like Affirm which provides installment plans to consumers, Viola Credit provides the lending capital to provide these receivables. Market Finance is a tech-enabled lender in the UK that needs capital to finance loans.

There is a disruption in financial services. Tech companies backed by VCs need financial partners due to their capital-intensive businesses in order to do this. We provide lending capital solutions to these new tech-based financial solutions.

Global funding for the FinTech sector reached a record in 2011.

The rise of non-bank and alternative lending companies is a result of the digital transformation. Over 120 billion loans were originated in the year.

In addition to the US, Western Europe, UK, Australia, and New Zealand, Viola Credit will partner with other platforms.

Victory Park Capital is one of the competitors to Viola.