BankProv Chosen by Capchase to Launch Innovative Product for Growing Startups

Rhea-AI Summary

BankProv has partnered with Capchase to launch Capchase Earn, which allows companies to generate high monthly rewards on idle cash and reduce their capital costs. This new product, part of Capchase's aim to support startup growth, integrates with Capchase’s platform and utilizes Modern Treasury for payments. BankProv will provide premium banking services, ensuring 100% deposit insurance. This partnership signifies BankProv's expansion into Banking-as-a-Service and highlights the innovative financial solutions aimed at nurturing the startup community.

Positive

• Launch of Capchase Earn, enabling startups to earn on idle cash.
• Partnership enhances BankProv's offerings in Banking-as-a-Service.
• Integration with Modern Treasury streamlines payment processes.
• 100% deposit insurance enhances trust in new financial products.

Negative

• None.

AMESBURY, Mass., Nov. 4, 2021 /PRNewswire/ -- BankProv, a future-ready commercial bank that offers adaptive and technology-first banking solutions to emerging markets, was chosen by Capchase, a New York-based provider of non-dilutive capital for recurring-revenue companies, to provide Banking-as-a-Service infrastructure for its latest product offering, Capchase Earn, launching today.

Capchase Earn will allow companies to earn more with their idle cash and reduce their overall cost of capital. Through this partnership, BankProv will support Capchase's need for access to premium banking services, including white-labeled deposit products with 100% deposit insurance. Capchase will integrate the account directly into its existing platform and utilize Modern Treasury, a payment operations platform, to assist with payments and reconciliation.

"BankProv is proud to play a role in Capchase's unique new initiative to help businesses utilize idle cash to unlock low-cost growth capital," said Dave Mansfield, CEO of BankProv. "This new relationship marks the Bank's further expansion into Banking-as-a-Service with high-quality, industry-shaping partners like Capchase."

A first of its kind, Capchase Earn is an innovative account for growing startups that generates high monthly rewards and significantly reduces the total cost of capital, which supports Capchase's mission of accelerating growth for high-potential businesses through better financial operations.

Miguel Fernandez, Co-founder and CEO of Capchase commented: "Capchase Earn is going to change the way companies grow forever. By combining this account with our other revenue financing products, a company raising a round for 18 months of runway can now go 2.5 times longer without slowing down for a negligible cost. This is a game changer for the startup community and is yet another way Capchase is working to help startups focus on building and growing first, not fundraising."

About BankProv
BankProv, legally operating as The Provident Bank, is a subsidiary of Provident Bancorp, Inc. (NASDAQ: PVBC). BankProv is a future-ready commercial bank for corporate clients, specializing in offering adaptive and technology-first banking solutions to niche markets, including cryptocurrency, renewable energy, fin-tech and enterprise value lending with a focus on search fund loans. We are committed to offering state-of-the-art APIs (application programming interfaces) for all business clients and BaaS (Bank as a Service) partners. Through our offerings, BankProv insures 100% of deposits through a combination of insurance provided by the Federal Deposit Insurance Corporation (FDIC) and the Depositors Insurance Fund (DIF). For more information, visit bankprov.com.

About Capchase

Capchase is a platform for recurring-revenue companies to secure non-dilutive capital. Founded in Boston, MA in 2020, the company provides financing by bringing future expected cash flows to the present day – thereby extending an immediate line of credit. Companies that work with Capchase are able to secure funding that is fast, flexible, and doesn't dilute their ownership.

Press Contact: Carie Kelly, SVP Virtual Banking
Phone: (978) 834-8583
Email: ckelly@bankprov.com

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SOURCE The Provident Bank

FAQ

What is Capchase Earn launched by BankProv?

Capchase Earn is a new account allowing startups to earn on idle cash while reducing their overall cost of capital.

How will Capchase Earn benefit startups?

It helps startups access low-cost growth capital and significantly extends their runway without diluting ownership.

What are the features of BankProv's partnership with Capchase?

BankProv provides premium banking services, including white-labeled deposit products with 100% deposit insurance.

When was Capchase Earn launched?

Capchase Earn was launched on November 4, 2021.

What financial services does BankProv offer?

BankProv offers adaptive banking solutions, focusing on niches like cryptocurrency, renewable energy, and fintech.