FinTech news in Harry Hurst category

Pipe, an alternative financing platform that was last privately valued by investors at $2 billion, has announced its new chief executive, an appointment that comes months after the company three co-founders stepped down from their posts in a stunning, unusual shake-up. After announcing the founding team would be leaving, allegations surfaced that Pipe made about $80 million in loans to a few crypto mining companies and that the loans were written off when one or more of these companies went out of business. He is also joining the board of directors, replacing Pipe former co-CEO Harry Hurst’s role as vice chairman. Josh Mangel, Pipe founder and co-CEO, temporarily assumed the role of chief executive back in November.

Crowdz, which secured $10 million in capital co-led by Citi and Dutch growth equity firm Global Cleantech Capital, said this year it expanded from providing invoice-based financing to SaaS-focused SMEs to also providing them with recurring revenue access to upfront capital they need without having to dilute their equity. With that buy — its first — Pipe created a new media and entertainment division called Pipe Entertainment with the aim of giving independent distributors the opportunity to trade their revenue streams in the same way a SaaS company could. The three co-founders of alternative financing startup Pipe are stepping down from their roles as executives of the company in one of the most dramatic management shake-ups seen in the fintech startup world in some time. Since its founding, the startup says that 22,000 companies have signed up for Pipe and $7 billion of ARR (annual recurring revenue) has been connected to the platform.