Corporate Finance Division
Financial Services Company Venture Capital
Financial services are the economic services provided by the finance industry. It encompasses a wide range of businesses that manage money including (but not limited to): credit unions, banks, auto lenders, mortgage lenders, credit card companies, accountancy companies, insurance companies, stock brokerage, consumer finance companies, investment funds and some government sponsored enterprises.
The Financial Services sector is further broken down into two segments: FinTech - which is Financial Technology (online, computing software, etc), and FinServ - which is the actual financial services provided by a company and/or its people.
The financial services industry is huge, fast-moving, and ultra-competitive. It’s also radical and inspiring. Every day, FinTech start-ups develop new technologies that either help or disrupt banking, insurance, payments, and asset management incumbents.
Synergy Capital Markets is an enabler of this dynamic shift, on the lookout for new companies and ideas that will drive innovation and disruption. Success is contingent upon hard work, revolutionary concepts that meet end-user needs, the ability to develop those ideas into tangible products and services, and effective delivery to the marketplace. At SJM Capital, our passion is to transform financial services by seeking, and executing on, transformative ideas.
Fostering Growth without Diluting Equity:
For Financial Services Industry companies at critical stages of development, debt can serve as a key financing option to foster growth, with minimal dilution of equity ownership. At Synergy Capital Markets, not only do we understand the industries of our portfolio Financial Services Industry companies, but we also understand the growth process - and occasionally the growing pains - they undergo.
When venture debt is used appropriately, we believe entrepreneurs gain the following benefits:
Able to raise capital in a way that benefits the team and the business as a result of the greater flexibility offered by venture debt than traditional forms of debt financing
Have more time between equity rounds to build the business and achieve critical milestones, which creates potential for greater valuation
Retain a larger ownership stake in the company prior to an IPO or other liquidity event
Achieving milestones quickly in many cases also means reaching the IPO stage more rapidly