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LenderClose kicks off Series B round with investment from Ascentra Credit Union

LenderClose has kicked off a Series B funding round with an investment from Ascentra Credit Union.

Investors in LenderClose’s initial round—Collins Community Credit Union and Serve Credit Union—will double down on their investments into LenderClose made in March 2018

According to LenderClose CEO Omar Jordan, the 8-figure Series B funding round began as an exclusive opportunity for the company’s initial investors, but expanded in reaction to growing excitement about the technology’s ability to increase speed and efficiency for community lenders. 

LenderClose has not confirmed any deal specifics, but according to a public filing with the SEC, has raised $1 million so far this round. The Form D was filed Feb. 18, 2020 and can be found here.

Based in West Des Moines, LenderClose has developed a proprietary, technology-focused lending platform that injects speed and efficiency into the lending process. The technology solution shortens the lending cycle dramatically and, in some cases, takes it down to a few minutes vs. days or weeks.

“We’re focused on enabling the best user experience through innovative workflows and process automation,” said Jordan. 

The platform has experienced exponential growth over the last 12 months, more than doubling its user base year over year. Nearly 200 credit unions and community banks use the LenderClose solution nationwide. LenderClose expects to exceed 300 financial institution clients in 2020. 

LenderClose’s Series A round allowed for aggressive job creation and hiring in the Des Moines area. Over the past year, the company’s workforce has more than doubled from 15 to more than 30 full-time employees. The company expects to create 35 more positions over the next 12 months.

Ascentra Credit Union’s President and CEO, Dale Owen, cited the LenderClose leadership as a major contributor to the decision to invest in LenderClose. 

“Leaders of the company are fixated on positioning community financial institutions for competitive dominance in their local markets,” Owen said. “Doing so requires a delicate balance of industry knowledge and digital technology expertise. It’s an equilibrium LenderClose has struck incredibly well by bringing on the right mix of tenured financial leaders and innovative technologists.”


Next Level Ventures leads $1.3 million investment in LenderClose -April 17, 2018

Q&A: Omar Jordan starts his second startup LenderClose – Oct. 3, 2017

1 Comment

  • Ben Milne
    Posted February 20, 2020 at 6:51 pm

    Go go go!

Comments are closed.

LenderClose kicks off Series B round with investment from Ascentra Credit Union | Clay & Milk
A central Iowa ag-tech accelerator has secured more backers and finally has a name. The Greater Des Moines Partnership first announced the accelerator last year, naming four initial investors. On Monday, the Partnership said the program will be called the "Iowa AgriTech Accelerator" and named three new investors. The new investors include Grinnell Mutual, Kent Corp. and Sukup Manufacturing, all Iowa companies. They join investors Deere & Co., Peoples Co., Farmers Mutual Hail Insurance Co. and DuPont Pioneer. Each investor has agreed to put up $100,000 for the first year of the accelerator. Startups entering the program will receive $40,000 in seed funding in exchange for 6 percent equity. Tej Dhawan, an angel investor and local startup mentor, is serving as interim director until the AgriTech Accelerator names a permanent leader. Dhawan held a similar role with the GIA before Brian Hemesath was named as managing director. As interim director, Dhawan said his main job includes hiring the accelerator's executive director, establishing a business structure and initial recruiting for the first cohort. The accelerator will place few filters, such as location and product, on the applicant pool, Dhawan said. "When you’re seeking innovation, innovation can come from every corner of the world so why restrict ourselves," he said. One area the the AgriTech Accelerator won't recruit from is biotech. For its first cohort, the AgriTech Accelerator will work out of the GIA's space in Des Moines' East Village, Dhawan said. A future, permanent home is still to be decided. The accelerator's program will host startups from mid-July through mid-October, ending with an event connected to the annual World Food Prize. The GIA, which the AgriTech Accelerator is based on, also ends with presentations at an industry event. The accelerator has also started lining up a mentor pool. The Iowa Corn Growers Association, Iowa Soybean Association and the Iowa Pork Producers Association have agreed to provide mentors, as has Iowa State University. While the AgriTech Accelerator is loosely based off of the GIA, it will differ in its business structure, Dhawan said. The GIA runs through a for-profit model for both operations and its investment fund. The AgriTech Accelerator will have a nonprofit model for its operations and a for-profit setup for its fund. Dhawan said the nonprofit model is being used so the accelerator can better work with other nonprofit partners, such as trade associations. "These are all organizations that are nonprofits and can be amazing stakeholders without ever having to be investors in the accelerator," he said. "It becomes easier to work with trade associations in their nonprofit role when we are also a nonprofit." When it's up and running, the AgriTech Accelerator would be one of a handful of ag-focused startup development programs in Iowa. Others include the Ag Startup Engine out of Iowa State University and the Rural Ventures Alliance from Iowa MicroLoan. Matthew Patane is the managing editor and co-founder of Clay & Milk. Send him an email at
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