AppDirect, a platform facilitating the purchase, sale, and management of technology through a network of IT advisors, has successfully raised $100 million from CDPQ. This funding aims to bolster its financing program for small and medium-sized tech enterprises. The investment from CDPQ will enable AppDirect to unite tech providers, advisors, and buyers through its Capital Invest fund, ultimately aiding tech companies in showcasing their products to potential customers.
Key Takeaway
AppDirect has secured a
00 million investment from CDPQ to expand its Capital Invest program, aimed at providing financing opportunities for small- and medium-sized tech businesses. This funding will enable AppDirect to empower technology advisors and offer innovative capital options, further solidifying its position in the tech market.
Empowering Technology Advisors
AppDirect’s Chief Revenue Officer, Emanuel Bertolin, expressed that the Invest program is designed to empower technology advisors, acknowledging the need for rapid access to capital in order to propel the growth of technology merchants. Through the Capital Invest program, AppDirect offers a loan program that provides upfront payments to tech businesses. Firms interested in applying for this program are required to submit their business data from the past three years. Subsequently, AppDirect presents an all-cash offer, along with back-office support and provider contracts, based on the firm’s annual recurring revenue. Following the loan’s closure, businesses commence making annuity payments to AppDirect, which continue indefinitely.
Expanding Business Opportunities
Bertolin emphasized the importance of increasing access to the Capital Invest program, stating that it provides technology advisors with innovative capital options to expand their business or invest in the future. This underscores the essential role of such a program in the current market landscape.
AppDirect’s Evolution and Offerings
Established in 2009 by Nicolas Desmarais and Dan Saks, AppDirect was conceptualized as a platform connecting business owners with technology, particularly cloud-based solutions, while streamlining the traditional onboarding processes. Presently, AppDirect offers a suite of tools enabling businesses to monetize or procure tech products across various channels and devices. The company generates revenue through its monetization services for businesses, as well as transaction fees from products and services traded through its platform.
Capital Invest Program and Future Prospects
AppDirect introduced the Capital Invest program in 2021, and with the recent $100 million investment, the program’s total size has reached $180 million. This investment adds to the substantial funding AppDirect has secured from various investors, including JP Morgan Chase, Mithril Capital Management, and Inovia Capital.
