Prior to Verivend, S2 Venture Partners in Buffalo, NY received physical checks through the US mail from each individual investor, made trips to the bank to deposit them, waiting for the funds to clear, and then sent another physical check to their portfolio company to deploy the funding.
The current process was not only time-consuming but a major headache as well, and Verivend made the process of funding S2 Ventures Partners’ investments much better and easier.
It was typical for it to take a week, and more often closer to two weeks to complete the funding process. In addition, there were constant calls from individual investors, inquiring if their check was received or cashed yet, or from the portfolio company inquiring when funds would arrive.
Verivend changed our overall investment process for the better overnight.
A simple capital call request was now generated directly from the Verivend platform for each individual investor’s commitment and sent to them directly. Once opened, S2 Venture Partners received an immediate notification that the capital call was accepted, and with one click, the investor could provide their funding.
Verivend’s platform kept S2 Venture Partners informed every step of the way.
Rather than disjointed calls and separate emails, real-time communication was conducted through the platform if there were issues or questions. Once paid, the funds were almost instantly available, and through the platform’s VeriPay feature, S2 Ventures Partners investments were funded to portfolio companies in an equally short time.
Verivend has been a godsend for S2 Venture Partners, saving at least a week of time on each transaction funded through the platform, and making the process much simpler. As S2 Venture Partners has added more and more individual investors, what was once a cumbersome, confusing process has turned into a smooth and easy one.
“We can’t imagine processing our investor payments any other way moving forward.”
Ron Faso, Managing Partner at S2 Venture Partners