Silicon Valley-based Trucker Path, a logistics startup, has raised $30 million in funding. The backers were Flexible Funding and Silicon Valley Bank.
Mountain View, CA, June 15, 2016
Logistics startup Trucker Path secures $30M to scale its freight marketplace
Trucker Path, America’s popular freight-matching platform, secures $30 million debt financing from Flexible Funding with the participation of Silicon Valley Bank to scale its financial services offered to trucking companies.
Trucker Path helps carriers find freight instantly and offers essential services such as crowdsourced navigation and financial products. The latter help carriers manage their cash flows and get paid quicker. Currently, Trucker Path’s financial products include freight factoring and fuel advances. Launched in late 2016, financial products are already a profitable part of Trucker Path’s business.
“Carriers often have to complete tons of paperwork and wait 30-60 days before getting paid. Trucker Path helps carriers get paid with just a few clicks on the mobile app – we have brought fintech into the trucking industry by automating the payment process.” said Ivan Tsybaev. “We are extremely excited to partner with Flexible Funding and Silicon Valley Bank, as this will enable us to continue our rapid growth and make the job of more trucking companies easier.”
Trucker Path’s differentiator from other trucking startups is it’s enormous active audience of 550,000 truck drivers (there are 1.6M long haul drivers in America). The platform provides its users with access to available freight in real-time, truck-specific navigational aid and financial services to manage cash flows.
“This new partnership is a great opportunity for Flexible Funding to address the $700 billion trucking market that is behind the curve on tech advancement,” said Paul DeLuca, a Trucker Path investor and Managing Member of Flexible Funding. “We were impressed by Trucker Path’s ability to grow in such a short period. With Flexible Funding’s experience in financial services and the Trucker Path outreach, this has potential to become a leading solution in the market.”
Initially, Trucker Path utilized equity as the source of financing ($20M series A in 2015), but with the steady growth it has been able to gain traction from financial institutions.
About Trucker Path: https://truckerpath.com/
Silicon Valley-based Trucker Path released a crowd-sourced navigation app for truck drivers in late 2013. With advanced mobile technology, the crowd-sourced Trucker Path application has grown to become America’s largest community of truck drivers with over 550,000 active users or 33 percent of all Class 8 truckers. In 2015 Trucker Path secured $20 million in Series A funding. The exponential growth of the app led to the release of an online freight platform that connects carriers with freight companies (brokers, shippers) in March 2016. The Trucker Path team strives to improve efficiencies in the freight transportation industry while making life on the road easier, enjoyable, and more profitable for truck drivers.
About Flexible Funding:
San Francisco based Flexible Funding has been providing Accounts Receivable lending solutions to companies in the US and Canada since 1992. From the beginning, its team has focused on transparency, simplicity of closings, and clarity in all aspects of its borrower relationships. Technology focused methods of delivering working capital solutions benefit from a proprietary web based lending platform. Flexible Funding was ‘Fintech’ long before the term was coined, and is proud of its technological development in delivering superior collateral management in a fraction of the time it takes traditional Asset Based Lenders.
About Silicon Valley Bank: https://www.svb.com/
For more than 30 years, Silicon Valley Bank (SVB) has helped innovative companies and their investors move bold ideas forward, fast. SVB provides targeted financial services and expertise through its offices in innovation centers around the world. With commercial, international and private banking services, SVB helps address the unique needs of innovators. Learn more at svb.com.