PayPal buys Swift Financial
Starting in 2013, PayPal's Working Capital unit made over US$3 billion of loans to 115,000 small businesses. These loans had values up to US$125,000 each and soon, thanks to the acquisition of Swift Financial, this limit will go up to US$500,000.
A statement by PayPal reveals that "Swift’s technology will allow us to assess supplemental information to more fully understand the strength of a business and provide access to complementary financing products to meet the needs of small and mid-sized businesses."
As it usually happens with such deals, the financial terms have not been disclosed. What we know is that the acquisition is subject to certain closing conditions and, if everything goes well, it should close later this year.
Swift Financial was established back in 2006 and is headquartered in Wilmington, Delaware. The company has provided funding to thousands of emerging companies in the US and has been recognized for excellence by J.D. Power.