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Wayflyer Secures $1 Billion Investment from Neuberger Berman to Fuel E-commerce Financing Expansion

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Wayflyer, a prominent player in the e-commerce financing arena, has secured a substantial capital injection of $1 billion from investment management firm Neuberger Berman. This significant funding arrangement has been described as an “off-balance sheet program,” a strategic financial maneuver enabling Wayflyer to retain specific assets and liabilities off its financial statements. This approach is likely aimed at maintaining a favorable debt-to-equity ratio, a key financial metric.

Over a defined period, Wayflyer will acquire assets valued at up to $1 billion from investment funds under Neuberger Berman’s management. The off-balance sheet structure of this arrangement suggests that Wayflyer has negotiated terms that are potentially more advantageous compared to traditional financing mechanisms.

In a statement, Wayflyer’s co-founder and CEO, Aidan Corbett, emphasized the surging demand for their financing solutions, particularly within the U.S. market. He underscored the significance of this $1 billion off-balance sheet asset acquisition, portraying it as a testament to the strength, success, and resilience of Wayflyer’s value proposition. This substantial capital injection equips e-commerce customers with the financial resources required to not only survive but thrive under varying economic conditions.

Wayflyer, established in 2019, has carved a niche for itself by offering revenue-based financing to e-commerce enterprises, leveraging data analytics to assess loan eligibility and devise repayment schedules based on revenue performance. The company primarily serves clients who typically seek loans ranging from $300,000 to $400,000 to address various operational needs within their e-commerce businesses.

Wayflyer’s lending approach harnesses a wide spectrum of data sources, including popular e-commerce platforms such as Shopify and Woocommerce, customer feedback via TrustPilot reviews, web analytics from Google, and insights into shipping services’ performance. This data-centric strategy empowers Wayflyer with predictive capabilities, allowing them to proactively anticipate potential financing challenges that e-commerce merchants may face in the future.

Despite the inherent challenges within the e-commerce sector, where many businesses struggle to sustain themselves beyond the initial few months, Wayflyer has demonstrated remarkable growth. The company boasts an impressive track record, having onboarded over 3,000 customers and disbursed loans exceeding the $2 billion mark. Notably, a substantial portion, exceeding 80%, of Wayflyer’s clients opt for additional financing following their initial transactions.

Wayflyer’s ability to persevere amidst market fluctuations and the competitive landscape has garnered continued support from its investors. This investment aligns with the broader growth trajectory anticipated for the global e-commerce sector, which is poised to expand significantly in the years ahead.

With the infusion of $1 billion in funding from Neuberger Berman, Wayflyer is well-positioned to execute its expansion plans, with a particular focus on the lucrative U.S. market. This financial infusion bolsters the company’s ongoing efforts to achieve profitability while enabling e-commerce enterprises to thrive in an ever-evolving economic landscape.

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