SAN FRANCISCO, March 6 Tiger Global has made
another investment in a venture-backed company, this time,
leading a $77 million funding round in small-business lender
New York-based OnDeck, which announced the news Thursday,
makes loans online of up to $250,000 to brick-and-mortar
businesses like hair salons and doctors' offices.
"What we're trying to do is just like Priceline did
to airline tickets," said OnDeck chief executive Noah Breslow,
referring to the travel company that helped pioneer the move to
online services rather than physical travel agents. He said
OnDeck works more quickly and with better rates than traditional
The latest financing round brings OnDeck's funding to $180
million in equity plus more than $300 million in debt financing.
Existing backers include First Round Capital, Google Ventures,
Institutional Venture Partners, and SAP Ventures.
Other companies that specialize in providing loans to small
and medium-sized businesses include Capital Access Network and
Tiger Global, known for its hedge fund and private equity
investments, has been deepening its commitment to venture-backed
companies, typically at later stages.
Last year, Tiger-led investments in online real estate
company Redfin; neighborhood social network Nextdoor; online
ticketing service Eventbrite; and Automattic, the company behind
the WordPress blogging service. It led a $444 million equity
investment in online survey company SurveyMonkey, its biggest
move into venture-backed companies.
Tiger and other late-stage investors are seen as enabling
the companies they back to delay initial public offerings.
OnDeck said it had no imminent IPO plans.