FAVO Capital Inc., a technology-driven alternative finance company, has raised $8 million in Series A preferred equity investment from Stewards Investment Capital. The funding will support the company's strategic expansion of direct small and medium-sized business (SMB) lending, debt note restructuring, and development of embedded lending partnerships.
The investment signals significant growth potential for FAVO Capital, which specializes in providing flexible funding solutions for emerging businesses. By leveraging advanced underwriting models, the company aims to bridge financing gaps left by traditional lending institutions.
A key objective of the investment is to strengthen FAVO's balance sheet in preparation for a planned Nasdaq uplisting. This move could provide increased visibility and credibility in the financial markets, potentially attracting additional institutional investors and strategic partners.
The partnership with Stewards Investment Capital underscores confidence in FAVO's business model and growth strategy. By focusing on technology-driven, client-centric funding solutions, the company is positioning itself to meet the evolving capital needs of small and medium-sized enterprises.
For the broader business ecosystem, this investment represents an important development in alternative lending, highlighting the growing importance of flexible, non-traditional financing options for smaller businesses seeking growth capital.
