Pipe Logo.png

#Digital lending #Payment #SaaS

Pipe gives SaaS and other stable revenue stream companies a way to get their revenue upfront, connects them with investors on its marketplace, targets US and UK (global expansion planned). Pipe offers proprietary credit rating to investors for selection of the investment target, provides management platform services for investors. Revenue sources: commissions from transactions (both sides are charged), subscriptions and various service commissions. No competition business model as the Company does not take credit risk. “Blue ocean” market with fragmented players. x2.75 client growth rate in the last 7 months of 2021, x2 revenue growth expected in 2020-2023.

USA
Miami, Florida

September 2019 
founded

Harry Hurst, CEO
Serial entrepreneur

$21m
2021 estimate

Round 4, March 2021
last round

What does Pipe do?

  • Easy financing for companies: gives SaaS businesses and other companies instant access to cash flows by analyzing value of their subscription revenues

  • Return to investors: investors receive 2-10% monthly interest based on the credit rating of companies

  • Connects companies and investors: easy and quick way to get financing instead of taking a loan

What problem does it solve?

  • No dilution for founders shareholders do not dilute their ownership 

  • No loans companies are not forced to take out loans

Why attractive now?

  • $3 bn tradable annual recurring revenue on the Pipe platform

  • $0.3 bln funding from focused investors Greenspring Associates, Morgan Stanley’s Counterpoint Global, CreditEase Fintech Investment Fund, Next 47, and others

  • $2 trn addressable SaaS market

  • $146 bln addressable SaaS market

  • 11000+ companies have signed up for Pipe’s services

Why valuation is growing?

  • 5x forecast 2022 growth to over $100m (conservatively), does not include revenue from other non-marketplace services

  • Accelerating client growth, 4000+ new clients signed up since May 2021

  • New business lines: Pipe Pro (operations management platform), Pipe Banking Services