Construction industry payments and financing provider BlueTape announced the closing of a $50 million debt funding led by Arcadia Funds and a $5 million seed round led by Chicago Ventures. The funding provides BlueTape with the resources to continue providing payments and financing for the construction industry, according to the company. BlueTape will increase lending, expand its team, and develop new products to help construction businesses address the nation’s housing and infrastructure crisis.
“We are excited to partner with BlueTape to provide affordable financing on demand for this industry. With the current economic uncertainty, BlueTape is needed more than ever to help construction businesses of all sizes operate successfully and thrive,” Andrew Hallowell, managing director and CEO of Arcadia Funds, said in a news release. “Arcadia is constantly on the lookout for these opportunities, having built a powerful portfolio over the past several years by helping similar agile and innovative lenders like BlueTape make lives better with credit.”
According to BlueTape, the company blends affordable financing options with “easy-to-use” accounts receivable and invoice management tools. Industry professionals can use BlueTape credit to buy building materials at any supplier and pay back over time. The company has also developed a community of dealers and suppliers that offer BlueTape credit instantly to their trade customers, allowing suppliers to lower their risk and improve their cash flow and customer experience.
“Given the team’s background, we strongly believe BlueTape is the right company to tackle one of the fundamental obstacles for any construction business,” said Jackie DiMonte, partner at Chicago Ventures. “They are paving the way for small businesses in the industry to have access to working capital and benefit from adopting new technology.”
