TD Bank Backs Drip Capital With $50M Facility as Trade Finance Platform Gains Momentum

Drip Capital, the global digital trade finance and B2B e-commerce company, has secured a $50 million committed credit facility from Toronto-Dominion Bank (TD Bank), with potential to expand by an additional $25 million. The deal marks Drip Capital's first partnership with the Canadian banking giant and comes just two months after the fintech raised $113 million in September 2024.

What the Facility Supports

The credit line will fuel Drip Capital's Buyer Finance program across the U.S. and Canada. Through this program, the company provides collateral-free working capital lines of up to $5 million to small and mid-sized businesses. Drip Capital pays suppliers directly on behalf of clients, who then have up to 120 days to repay, helping SMBs manage cash flow, extend payment cycles, and strengthen supplier relationships without tapping existing bank lines or pledging assets.

"This fund raise reflects Drip Capital's strong performance and the growth potential in North America," said Pushkar Mukewar, Founder and CEO. "Our partnership with TD Bank will help us scale Buyer Finance across one of the world's largest trade and consumption markets."

The Market Opportunity

The need is substantial. According to the U.S. Small Business Administration, there are 34.8 million small businesses in the U.S., representing 99% of all firms and nearly half of the workforce. Yet many remain underserved by traditional banks, unwilling to extend unsecured credit.

Globally, the International Chamber of Commerce and Asian Development Bank estimate a $2 trillion trade finance gap, disproportionately affecting SMBs.

"Our solutions are designed for exactly this segment," said Karl Boog, Chief Business Officer at Drip Capital. "Every company's finance team can benefit from having a collateral-free, flexible credit line to procure goods and services. Despite our rapid growth, we've only scratched the surface. Drip Capital is quietly financing the supply chains behind millions of purchases in North America."

Recent Growth and Momentum

The TD Bank facility follows strong performance metrics. In September 2024, Drip Capital secured $113 million in funding—$23 million in equity from Japanese institutional investors GMO Payment Gateway and Sumitomo Mitsui Banking Corporation, plus $90 million in debt financing led by the World Bank's International Finance Corporation and East West Bank.

At the time of that raise, the company reported it had quadrupled its revenue and doubled its customer base over the prior two years, achieving cash profitability despite challenging conditions in the global trade sector.

Drip Capital now collaborates with over 9,000 sellers and buyers across 100+ countries and has financed more than $6 billion in trade transactions since its founding.

Expanding the Lending Partner Roster

TD Bank joins Drip Capital's roster of global lending partners, which includes Barclays, the World Bank's International Finance Corporation, East West Bank, and several non-bank lenders. The diversified funding base provides the company with capital flexibility to scale its SMB-focused trade finance operations across North America and beyond.

With total funding now exceeding $640 million in equity and debt since inception, Drip Capital is positioned to continue expanding its reach in the underserved SMB trade finance market.

Drip Capital is headquartered in Palo Alto, California, with operations spanning over 100 countries.