Gynger secures $20m funding to revolutionize corporate technology purchasing
Gynger, an embedded financing platform for technology purchases, announced it has raised $20 million in Series A funding, led by PayPal Ventures, with participation from Gradient Ventures, Velvet Sea Ventures, BAG Ventures and Deciens Capital.
Gynger will use the funding to scale its team and operations and accelerate its vision of transforming its embedded financing platform into a full-scale payments solution for buying and selling of technology. In addition, Gynger secured a debt facility from CIM (Community Investment Management) with an agreement to fund up to $100 million. The new facility will enable Gynger to scale its financing of technology spend to meet increasing customer demand.
Mark Ghermezian, Founder and CEO, Gynger: "Over the last year, we have experienced tremendous growth and demand. We are revolutionizing how companies buy and sell technology by providing a payments solution that addresses the needs of both vendors and their customers. We are building the future of flexible financing for all technology. We are thrilled to welcome PayPal Ventures as an investor to help push our growth to a whole new level."
Technology is one of the top growing B2B categories, with over $900 billion in annual spend on SaaS alone. According to Forrester, global technology spend is estimated to grow to $4.7 trillion over the next year, fueled by the increase of generative AI. With technology spend expected to rise over the next decade, Gynger is already providing customers with a solution that makes it easier than ever before for businesses to finance their software and technology needs.
Gynger's vision is to simplify and optimize the end-to-end technology purchasing process. The company is building a fully automated, seamless, embedded financing platform built for both buyers and sellers of technology, that will truly revolutionize the way technology transactions are made today.
James Loftus, Managing Partner, PayPal Ventures: "Gynger is changing the way businesses buy software. Companies from seed stage startups to enterprise can unlock flexible payment terms on any technology expense, regardless of the vendor's terms, making it possible to purchase tools needed for growth while also preserving cash. We couldn't be more thrilled to be supporting them on their journey."
Gynger provides a unique financing solution for businesses looking to acquire the technology they need – companies can purchase software and services through non-dilutive capital.
This allows businesses to optimize their cash flow by spreading payments out over flexible terms that fit their budget and growth trajectory. Gynger's financing platform has already facilitated payments for hundreds of leading technology vendors including Snowflake, Salesforce, AWS, Cisco, ZoomInfo, and Datadog. By making capital more accessible, Gynger enables technology users to purchase the software they need in order to scale, while still paying on their terms. Gynger's customer base spans a wide-range of organizations, from early-stage startups to pre-IPO companies across all industry verticals.
For software and broader technology vendors, Gynger extends alternative purchasing methods to their customers, which enables vendors to accelerate sales, improve cash flow, shorten Day Sales Outstanding (DSOs), and pull revenue forward - all while getting paid upfront through Gynger's embedded financing platform. By offering flexible payment terms to customers, vendors can simplify the sales process and lock in long-term commitments.
Gynger utilizes advanced AI and data analytics to underwrite and approve credit for customers faster than any other financing solution available. It automatically detects technology spend to recommend financing opportunities to best fit the needs of both buyers and sellers. By seamlessly facilitating the transactions through its secured payment platform, Gynger completes the end-to-end purchasing process.
Jacob Haar, Managing Partner, Community Investment Management: "Gynger offers a unique source of financing for businesses who are in need of flexible terms as they increase their capital outlays on software. With software spend increasing more than any other spend category, Gynger is well positioned to provide valuable support to businesses nationwide. We are excited to partner with the company as they scale to meet the significant size of this market opportunity."
