We are proud to announce that Cumulus Funding has raised $30 million in new capital to help our business grow. It is with our customers in mind that we raised these funds, as this will allow Cumulus to expand our Income Share Agreement product to new states and enter into new ISA contracts with qualified clients. We have also expanded the Cumulus Funding team to ensure we consistently deliver a high-quality experience to customers seeking funding and to our clients.
Our customers deserve a financial partner that can keep up with the burgeoning demand for our ISA product. We are thrilled to offer the hard-working labor force of this country increased access to ISAs. You can read more about how we raised our funds by reading about it here:
FOR IMMEDIATE RELEASE
Adam Ginsburgh, Partner and Managing Director
(312) 357-5195 Aginsburgh@cumulusfunding.com
Cumulus Funding Raises Over $30 Million in Equity & Debt Financing
Chicago-based firm expands the reach of its Income Share Agreement product
Chicago, Illinois: Cumulus Funding, the consumer finance company specializing in providing Income Share Agreements (“ISAs”) to individuals seeking a more flexible consumer finance alternative, has announced today that it has closed a round of financing of over $30 million in capital, including $6 million in equity funding and a committed $25 million debt financing facility. The Series A equity financing was led by Continental Investors LLC with support from several new equity investors including HC Technologies, D-W Investments, Bridge Investments and Service Provider Capital, plus additional investment from Cumulus’s existing investors.
Cumulus’s “equity-like” Income Share Agreement provides its customers with funds today in exchange for a future investment return that is based upon a percentage of their income for a fixed period of time. To date, Cumulus Funding has provided Income Share Agreements to over 500 customers.
“Over the last 15 years, Continental has developed a deep domain understanding in the non-bank financial market. Non-bank consumer finance products have been starved for innovation for decades. We are incredibly impressed with the ISA product developed by Nathan Popkins, Adam Ginsburgh and the team at Cumulus,” said Paul M. Purcell, Manager of Continental Investors. “It is a totally novel, pro-consumer offering that practically solves for the liquidity requirements of those most in need.”
”We are incredibly excited to expand the reach of our Income Share Agreement product. Historically, demand for our product has exceeded the capital that Cumulus has had available to fund customers,” said Cumulus Funding’s CEO Nathan Popkins. “This relationship with our funding partners will give us extensive runway to enter into new ISA contracts with customers, and our equity capital will let us expand our reach into new states, add to our tremendous Chicago-based team, and build new strategic partnerships.”
“In addition to wonderful equity capital partners, we have cemented a very strong debt capital partner and a Board of incredibly knowledgeable and talented professionals. We are fortunate to have a non-bank product visionary in Dan Henry, most recently CEO of NetSpend, joining the Board,” said Purcell.
In addition to Dan Henry, Paul Purcell and Nathan Popkins, Cumulus has also appointed Jeff Jones, Managing Director at Stephens Inc., and Jessica Sohl, General Counsel of HC Technologies, as Directors.
Popkins added, “We believe the hard-working labor force of this country is our single greatest asset, and they deserve a financial partner whose interests are well-aligned with theirs. Access to capital is possible using a structure that is flexible, simple, and easy to understand.”
About Cumulus Funding
Cumulus Funding is a Chicago-based consumer finance company. Its core offering is the Income Share Agreement, an innovative and proven financial tool that allows consumers to receive funds in exchange for an investment return that is calculated as a small percentage of their future income. Eligible customers can receive between $1,500 and $10,000 in exchange for returns based on a specified percentage of their income – never more than 10%. If Cumulus’s customer experiences a reduction in income, their payment adjusts down proportionately, and it can go to zero if the customer finds themselves out of work. The flexibility and inherent affordability of an Income Share Agreement allows Cumulus’s customer to better weather unexpected financial shocks resulting from changes in their income or employment.
Company Contact Information
Align Income Share Funding
30 N. LaSalle St. Suite 1725
Chicago, IL 60602
About Continental Investors
Continental Investors invests in innovative young companies in the financial service industry. Continental’s portfolio includes SumRidge, LevelUp, and WePay — all disruptors in the financial services space. Continental Investors was founded by Philip J. Purcell, founder of Discover Card, the card that disrupted of the credit card space in 1986.