Vero Technologies raises $8.5M for platform to help banks generate more wholesale financing
Vero Technologies, a wholesale financing technology and loan servicing platform, announced the close of its $8.5 million Series A funding round on Wednesday.
Led by venture capital fund BankTech Ventures, Vero said it also received significant investment from Sopra Steria Ventures and other notable fintech investors including Arcadia Funds, Antler, AAF Management and the Independent Community Bankers of America.
According to a news release, Vero will use the capital to accelerate the growth of its lending-as-a-service (LAAS) offering, giving banks a digital solution for the financial processes that “stand in the way” of their expansion in the wholesale financing space.
Vero highlighted that its platform leverages open banking technology to offer end-to-end loan lifecycle management to its current user base of community and regional banks across the country. Its capabilities span everything from underwriting, servicing and digital auditing to real-time inventory, risk management and financial analytics.
As a result, Vero said banks can profitably introduce wholesale financing, while providing dealers lower cost of funds and enhancing operational efficiencies.
The platform also includes dealer and supplier-facing tools to eliminate unnecessary manual interactions.
“We’ve been fortunate to build a viable product and achieve initial market penetration with minimal funding to date. Now, as we set out to expand, we’re pleased to do so in partnership with BankTech Ventures, Sopra Steria Ventures and other strategic investors who share our vision of providing banks with a bespoke solution for wholesale finance,” Vero Technologies CEO John Mizzi said in the news release.
“This investment will enable us to build our growing footprint with community and regional banks across the country and enhance our platform’s capabilities,” Mizzi continued.
For dealers and manufacturers with limited options for wholesale financing, Vero said its solution represents a “differentiated” value proposition.
Through Vero, these dealers now have access to lower-cost funds through their preferred financial services partners, ensuring that dealers can consolidate their financial resources and drive business growth.
“We are excited to lead the Series A funding round for Vero,” said Carey Ransom, managing director of BankTech Ventures. “Their commitment to driving innovation within community banking aligns perfectly with BankTech’s mission to expand community bank capabilities. We believe Vero has tremendous potential to transform the inventory financing landscape and create significant value for dealers and lenders alike.”
Vero and Sopra Banking Software (part of the Sopra Steria Group), are working on a commercial partnership that will make Vero’s technology available to the wider wholesale finance market with similar large-scale financing ambitions.
For more about Vero, visit www.vero-technologies.com.