Kabbage, Inc., an Atlanta, Georgia-based provider of working capital for online merchants, has raised $17m in Series B funding.
The round was led by Mohr Davidow Ventures, with participation from existing investors BlueRun Ventures, David Bonderman, founder of TPG Capital, Warren Stephens, CEO of Stephens Inc., and the UPS Strategic Enterprise Fund, as well as Jim McKelvey, co-founder of Square.
Kabbage intends to use the funds to pursue additional marketplaces, distribution relationships, new financial products and international expansion.
Led by Founder and CEO Rob Frohwein, Kabbage uses automated data sources to analyze the health of an online merchant’s business including transaction history, customer traffic and reviews, and products to deliver working capital within seconds of the merchant’s completed application.
With the release of a tool to build profiles last May, merchants can now add information to their account to immediately increase their chanche to access to capital.
The platform currently supports merchants operating on eBay®, Amazon® and Yahoo!® platforms, with Facebook®, Etsy®, Shopify® and Marketplace at Sears.com™ coming over the next six months.
In addition, has been awarded its first patent, U.S. Patent No. 7,983,951, by the United States Patent and Trademark Office (read here).