Total amount raised
$392.2 Millions
Latest funding date
04/01/2017
Location
Lending Club has successfully raised significant funding through various rounds, with its last funding type being Post-IPO Equity. The platform connects creditworthy borrowers with savvy investors, offering a range of financial services including personal loans, auto refinancing, and award-winning banking products.
Keep reading to explore the intricacies of Lending Club's fundraising journey and the investors backing this innovative platform.
What Is Lending Club?
Lending Club, founded in 2007, is a digital marketplace bank based in San Francisco, California. The company connects creditworthy borrowers with investors, offering a range of financial services including personal loans, auto refinancing, and full-service banking.
Founded by Joaquin Delgado, John Donovan, Renaud Laplanche, and Soul Htite, Lending Club aims to replace the high cost and complexity of traditional bank lending with a more efficient and transparent platform. The company has grown significantly since its inception.
With a workforce of 501-1000 employees, Lending Club has helped over 5 million members secure more than $90 billion in personal loans. Their innovative approach continues to attract both borrowers and investors, making them a leader in the financial technology sector.
How Much Funding Has Lending Club Raised?
- Round Name: Series C
- Amount Raised: $24.5M
- Date: April 2010
- Lead Investors: Foundation Capital
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To expand operations and enhance the platform's capabilities.
- Round Name: Series D
- Amount Raised: $25M
- Date: August 2011
- Lead Investors: Union Square Ventures
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To scale the business and increase market penetration.
- Round Name: Venture Round
- Amount Raised: $17.5M
- Date: June 2012
- Lead Investors: Kleiner Perkins
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To support product development and market expansion.
- Round Name: Secondary Market
- Amount Raised: $125M
- Date: May 2013
- Lead Investors: CapitalG, Foundation Capital
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To provide liquidity to early investors and employees.
- Round Name: Secondary Market
- Amount Raised: $57M
- Date: November 2013
- Lead Investors: Not publicly disclosed
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To provide liquidity to early investors and employees.
- Round Name: Private Equity Round
- Amount Raised: $65M
- Date: April 2014
- Lead Investors: Not publicly disclosed
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To support the acquisition of Springstone Financial and fuel growth.
- Round Name: Debt Financing
- Amount Raised: $50M
- Date: April 2014
- Lead Investors: Not publicly disclosed
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To support the acquisition of Springstone Financial and fuel growth.
- Round Name: Venture Round
- Amount Raised: Not publicly disclosed
- Date: August 2014
- Lead Investors: Not publicly disclosed
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To expand operations and enhance the platform's capabilities.
- Round Name: Post-IPO Equity
- Amount Raised: Not publicly disclosed
- Date: April 2017
- Lead Investors: Two Sigma, Panorama Point Partners
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To support growth, expand operations, and invest in new projects and technologies.
Total Amount Raised: $364M
Current Valuation: Not publicly disclosed
Key Investors
- CapitalG
- Details: CapitalG is the growth equity investment fund of Alphabet Inc. (Google's parent company). It focuses on investing in companies that are poised for significant growth and can benefit from Google's expertise and resources.
- Investment Focus Areas: Technology, Consumer Internet, Software
- Notable Investments: Airbnb, Stripe, Lyft
- Foundation Capital
- Details: Foundation Capital is a venture capital firm that invests in early-stage technology companies. The firm has a history of backing innovative startups that have the potential to disrupt their respective industries.
- Investment Focus Areas: FinTech, Enterprise Software, Consumer Technology
- Notable Investments: Netflix, LendingClub, Sunrun
- Kleiner Perkins
- Details: Kleiner Perkins is a venture capital firm that has been investing in early-stage and growth companies since 1972. The firm is known for its investments in pioneering technology and life sciences companies.
- Investment Focus Areas: Technology, Life Sciences, Green Technology
- Notable Investments: Google, Amazon, Twitter
- Thomvest Ventures
- Details: Thomvest Ventures is a venture capital firm that invests in early-stage technology companies. The firm focuses on partnering with entrepreneurs to build successful businesses.
- Investment Focus Areas: FinTech, Security, Real Estate Technology
- Notable Investments: Kabbage, SoFi, LendingClub
- Union Square Ventures
- Details: Union Square Ventures is a venture capital firm that invests in internet services that create large networks. The firm focuses on companies that have the potential to transform major industries.
- Investment Focus Areas: Internet Services, Mobile Technology, Decentralized Networks
- Notable Investments: Twitter, Etsy, Coinbase
What's Next for Lending Club?
With the acquisition of Springstone Financial, Lending Club is poised to expand its financial services, leveraging the $115 million raised in debt and equity. This move opens up new opportunities for growth, particularly in the education and patient financing sectors, which Springstone specializes in. The additional capital will enable Lending Club to invest in technology and marketing, further enhancing its platform.
Future fundraising opportunities are likely, as the company continues to attract investors interested in its innovative approach to lending. However, challenges such as integrating Springstone Financial, facing competition from other fintech companies, and navigating regulatory hurdles remain. Despite these obstacles, Lending Club's strategic moves position it well for continued growth and market expansion.
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