B2B Payments Startup Sees Rare, Multimillion Dollar Funding

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FinTech innovators are nabbing serious venture capital cash, but it’s not often that a startup operating strictly in the B2B payments space secures funding. One company has just bucked the trend.

Reports on Wednesday (Feb. 17) said StoneEagle Services secured $76 million from FTV Capital, a show of support for the firm’s B2B payments platform.

StoneEagle processes B2B payments made via ACH, virtual and commercial cards and checks. With the new funding, the company has named Andy Roberts as its new CEO, while FTV Capital executives Chris Winship, Richard Garman and Robert Anderson will join the business’ board of directors.

“While many B2C businesses have reaped the benefit of innovative new payments technologies, the B2B payments landscape remains decades behind, mired in paper and manual processes,” the companies’ announcement said.

StoneEagle operates within the insurance landscape, servicing payments for the auto, warranty, group health and workers’ compensation spaces, according to reports. The solutions provided by StoneEagle aim to streamline payment processes and provide payments support, while keeping transactions secure.

According to statistics offered in the release, corporate spend in the U.S. alone reached more than $20 trillion in value in 2014. The majority of these transactions, however, are still done with paper checks.

Roberts joins StoneEagle from Fleet One, a fleet card company at which he was also CEO, reports said. FTV Capital also provided funding for Fleet One.

“Having invested in the payments industry for the past 17 years, an unprecedented period of rapid, disruptive change, we know that companies that quickly adapt to new technology, new regulation and new demands from customers are most likely to succeed,” said FTV Capital Partner Winship in a statement.

The company said it will use the new funding to strengthen its existing customer relationships, focus on product growth and development and enhance its technology.