PYMNTS-MonitorEdge-May-2024

iPayment Links Merchants To SMB Lender RapidAdvance

Alternative SMB lender RapidAdvance is linking up with payments and processing company iPayment to expand its reach.

The companies announced their partnership this week, a move that sees iPayment offering its merchants financing offerings from RapidAdvance. According to RapidAdvance, their tie-up will allow the lender to reach 140,000 merchants of iPayment.

“We are excited to partner with iPayment to provide fast and flexible business financing for its clients and help meet the demand for solutions that can be tailored to the specific needs and business goals of each client,” said RapidAdvance CEO Will Tumulty in a statement. “iPayment understands that access to growth capital is an essential component to success for business.”

In another statement, iPayment CEO and President O.B. Rawls IV said providing its SMB merchants with access to financing is “critical.”

“After a thorough search and pre-qualification process, we made the decision that RapidAdvance is the right partner for us and, more importantly, for our customers,” the CEO added. “We are excited to bring their suite of offerings to our customers and our partners.”

Earlier this year reports said the Securities and Exchange Commission charged former executives of the company for a fraud scheme to steal money from the company. The executives are accused of creating a scam to file fake invoices so they could be reimbursed; reports said the accusations include plans to conspire with suppliers to inflate invoices and receive kickbacks from those overpayments.

The SEC charged former iPayment Senior Vice President of Sales and Marketing Nasir N. Shakouri and former Executive Vice President and Chief Operating Officer Robert S. Torino with the scheme, which allegedly led to millions of dollars in stolen funds.

In a statement provided to PYMNTS, iPayment emphasized that the company has moved forward from the matter:

“The SEC filing earlier this year is a result of activities that occurred at iPayment over five years ago,” a spokesperson for the company said. “The executives in question have not been employed with the company since that time. Our current leadership team is comprised of respected and experienced professionals and the Company continues to grow.”

PYMNTS-MonitorEdge-May-2024