Start Spreading the News: Kabbage to Join American Express
We are thrilled to share that we have signed an agreement to sell Kabbage to American Express! It’s hard to believe. What started as a few people sitting around a Starbucks thinking through how to use technology to provide eBay sellers access to small business loans would soon become part of the most storied brand in financial services history.
Although this is our first time sitting in the seat of the entrepreneurs selling their “baby,” we are certain it’s not uncommon to have a bittersweet feeling. On the one hand, we are entrepreneurs through and through and relish the daily fight that is required to push a company forward (not to mention through a pandemic). On the other hand, we are not joining just any company, but a company we have long admired that shares our vision to strengthen small businesses.
Importantly, we’re integrating with an incredible team. We’ve known Anna Marrs, the spectacular and authentic leader of the Global Commercial Services division of American Express, long before we started this particular conversation. The same goes for Steve Squeri, the CEO of American Express, who is not just a widely respected CEO but a genuinely nice, down to earth guy. We are joining an illustrious company of exceptional people and that is what makes us so excited about this transaction.
For the team at Kabbage, our resolve is unchanged. We will remain entirely focused on solving the plight of the small business, making their lives easier and their businesses stronger by handling the tough tasks related to financial services in an automated and simple way.
With American Express, our ability to reach more small businesses with increasingly impactful technology only multiplies. Small businesses have been the most directly affected in our economy by COVID-19 and they are key to our economic renewal. We will continue to lead the charge for their revival and growth.
We’re so proud of what we accomplished over these past 11 years. Kabbage transformed from the funding startup for eBay sellers into the leading cash-flow management platform for all small businesses. We earned the trust of over half a million small businesses who accessed over $16 billion dollars through our services. Our tremendous team rose to the challenge during the crisis, and together we became the second largest PPP lender in the nation, approving nearly 300,000 applications.
We launched fully-automated and data-driven solutions designed to empower small businesses to grow with more flexibility, efficiency and prudence. We deployed Payments to help customers get paid faster; Insights to help them analyze cash flow patterns and predictions; Funding to access flexible working capital in minutes; and Checking accounts to finally provide small businesses a banking account designed to reduce their costs and increase their yield.
In short, we helped make the small mighty.
We also created a family—one that laughed and celebrated a lot but also one that endured hardships and challenges. This is the way of the world, and a life worth living often pushes us both personally and professionally to try to accomplish the extraordinary.
Now, as part of American Express, we have the great pleasure and opportunity to soar to new levels. Together, we can continue to deliver a world-class cash flow platform to our now combined three million small business customers and become a part of a legacy of over 60 years of service to small businesses.
We cannot think of a better collaborator to join that shares our vision and goals. Again, we thank you for your support to get to this moment.
– Rob, Kathryn and the Kabbage team.