The pipe is a trading platform that lets innovators expand their enterprises on their own terms. Recognizing these as assets enable businesses to rapidly convert reoccurring income streams into money upfront. That means more working capital for businessmen to use to scale their businesses without accumulating debt or losses. Pipe has given investors access to the greatest untapped investment market.
The Miami-based company has announced a fresh investment round of $50 million in “corporate strategy equity finance” from a group of prominent investors. The round was co-led by some major software companies, which included CRM, HubSpot, Shopify, MSD Capital, and others. The fintech firm has secured $250 million in investment and is valued at $2 billion.
What does Pipe Do?
Harry Hurst, Josh Mangel, and Zain Allarakhia founded Pipe (operating under Pipe Technologies Inc.’s legal name) on August 1st, 2019. It offers a trading platform with financial and fintech services. The company is headquartered in the Greater Miami Area, on the East Coast of the United States. It is listed as a Profit company. Pipe is a transnational economic platform for continuous income streams, linking firms to hedge fund investors for real-time trading. It allows recurring income streams to be traded for their yearly worth, providing greater cash flow for expanding businesses.
Pipe was founded by a group of dedicated entrepreneurs that understand the obstacles and possibilities that creators face when determining how to fund their businesses. Pipe’s mission is to enable innovators to expand their businesses without incurring burdensome debt or surrendering ownership equity. Pipe was created to provide you access to non-dilutive funding based on the condition of the company, not who you know. The startup is completely reimagining the concept of flexible finance on your own terms.
Use Cases of Pipe
Pipe for Saas Companies
Pipe enables recurring revenue on demand while providing clients with numerous payment choices. SaaS businesses may develop more quickly by collecting up to 12 months (or more) of income upfront while consumers pay quarterly or monthly. Giving high yearly discounts in order to generate revenue is no longer necessary. The pipe allows you to reap the benefits of upfront funding without jeopardizing your bottom line or undermining your product offering. Increase your bargaining power in equity discussions. Pipe can be used alone or in conjunction with equity financing to reduce or eliminate dilution. You may boost your position in equity raising by maximizing your ACV and EBITDA.
Pipe’s Role in the Media and Entertainment Company Growth
Although entertainment revenues are increasing, content producers and rights holders may sometimes not receive their money for years. Creators may use Pipe to bring forward future contractual earnings and fund their next project on their own terms. Access to the capital on the terms of the creator Traditional funding for creative enterprises is notoriously difficult to come by, particularly outside of big entertainment and media centers. Once a creator is set up, he or she may easily access the funds they require through Pipe.
Why is Pipe used? The pipe allows artists, producers, and rights holders to access financing in hours rather than years. Connect to Pipe, convert your potential revenue streams to cash up front, and go back to doing what you love.
Pipe Company Funding and Investment
The pipe has received $316 million in investment across five rounds. Their most recent fundraising came on May 19, 2021, in the form of a Venture-Series Unknown round. 59 investors have contributed to the funding of Pipe. The most recent investors are Fin Capital and 10X Capital. On February 23, 2022, Pipe purchased Purely Capital. Their extraordinary roster of Investors includes companies such as Shopify, Slack, HubSpot, okta, Next47, MSD Capital, etc. Within a year of its introduction, Pipe had a $2 billion valuation. Since its public introduction, over 8,000 organizations have subscribed to the Pipe e-commerce platform, with over 25% of those companies operating in non-SaaS industries.
Tradable yearly recurring revenue exceeds $1 billion and is approaching $2 billion, with tens of millions of dollars traded each month.
FAQ’s
The pipe is a trading platform that lets innovators expand their enterprises on their own terms.
Pipe enables businesses to rapidly convert reoccurring income streams into money upfront by recognizing them as assets.
Their extraordinary roster of Investors includes companies such as Shopify, Slack, HubSpot, okta, Next47, MSD Capital, etc.
Harry Hurst, Josh Mangel, and Zain Allarakhia founded Pipe (operating under Pipe Technologies Inc.’s legal name) on 1st August 2019.
Pipe’s mission is to enable innovators to expand their businesses without incurring burdensome debt or surrendering ownership equity.