FrontStream Payments, Inc., Raises $16 Million

Funding to Fuel Company's Aggressive Acquisition and Expansion
Plans
BRENTWOOD, Tenn.--(Business Wire)--
FrontStream Payments, Inc. a leading provider of payment solutions
to small and medium-sized businesses, today announced the completion
of $16 million in equity funding.

"In the US, there are about 5 million mid-sized and smaller
merchants facing increasingly complex payments options," said Emmet
Seibels, CEO and Co-founder, of FrontStream Payments, "Our vision is
to acquire companies that help to simplify the market for our
customers by focusing on the unique needs of each merchant, and by
delivering and maintaining an integrated offering of consistent, high
quality payment solutions."

FrontStream Payments products and services include turnkey
solutions that enable merchants to increase revenues through the
acceptance of credit and debit cards. The company also helps drive
customer relationship management and loyalty efforts by allowing them
to offer their own "branded" loyalty, gift and prepaid cards.

Marc Scheipe, President and Co-founder of FrontStream Payments
said that the majority of the funds will be used to expand the
footprint of FrontStream Payments. "While we'll be growing through
strategic acquisitions, we'll also invest heavily in organic growth
initiatives to quickly take advantage of the tremendous market
opportunity."

"As investors, Frontstream Payments has the key elements we seek,"
said Casey West, partner at SSM Partners, the lead investor for the
funding. "The founding management team is very experienced to take
advantage of the high-growth market opportunity and they have the
right blend of urgency and fiscal responsibility."

Investors in this initial round included SSM Partners,
Noro-Moseley Partners, the Wakefield Group, Southpoint Capital, and
management.

About FrontStream Payments

FrontStream Payments, based in Brentwood, TN, is a leading
provider of payments products and services to small and medium-sized
businesses and independent credit card sales organizations. To learn
more about the company please visit www.frontstreampayments.com.

FrontStream Payments, Inc.
Chase Perry, 615-377-3799
www.frontstreampayments.com

Copyright Business Wire 2008