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Upper90 raises $180 million for credit and equity fintech fund

Upper90 raises $180 million for credit and equity fintech fund

Upper90, a hybrid fund that provides tailored credit and equity to to e-commerce, fintech, and supply chain finance startups has raised $180 million in a capped initial closing for its third fund.

Since raising Fund I in 2018, Upper90 manages and has syndicated over $2.2 billion across 43 portfolio companies, including the likes of Octane, Crusoe Energy, Mundi, Thrasio, Filmrise, Heroes, Clutch, Karat, Beacon and Settle.

The new fund was sourced from an investor base of 300 entrepreneurs to help founders scale with less dilution. The firm's investment model combines tailored credit and equity for technology businesses that have predictable revenue or collateral.

Billy Libby, co-founder and CEO of Upper90, comments: “Over the last 10 years, founders have faced fifty percent dilution through Series B rounds. Upper90-backed founders, conversely, own materially more by utilising credit earlier for the healthier parts of their businesses. With pressure on valuations, access to alternative financing solutions is top of mind.”

The firm was founded in 2018 by executives from Seamless-GrubHub and Goldman Sachs.

“Somewhere along the way founders started getting judged on how much money they raised instead of how much ownership they retained. This is backwards,” says Jason Finger, co-founder and chairman of Upper90 and co-founder of Seamless-GrubHub. “Debt has been viewed as a four-letter word but, in reality, by looking at how it is utilised in real estate, it is clear that online business models that have predictability or asset collateral can massively enhance equity returns by being thoughtful with credit.”

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