Teamshares announces $225 million in debt financing

Teamshares, a startup that buys small businesses, is disclosing $225 million in debt financing, including a just-closed $75 million debt facility with Sound Point Capital and a previously unreported $150 million debt facility with i80 Group.

The new financing will enable Teamshares to expand from 89 to 150+ businesses, while continuing to build financial and employee ownership products to support its growing network of employee-owned companies and the people who power them.

The New York-based startup, which was founded in 2019, recently launched a suite of small-business financial products, including neobanking, charge cards, business insurance, and health insurance.

“Adding Sound Point Capital to Teamshares’ lender base significantly accelerates our progress in scaling small business employee ownership. Building strong relationships with major credit institutions as we move closer to a public offering is a critical step in scaling our mission to reduce the wealth gap and preserve American small businesses for generations to come. i80 and Sound Point Capital have been great partners in our mission.” – Michael Sutherland Brown, Cofounder and CEO of Teamshares.

“Teamshares is a highly differentiated business, not only as the sole scaled player in small business employee ownership but also through its unique business model, proprietary software, and strong financial performance compared to adjacent acquisition-based models. We’re proud to play a part in expanding employee ownership with Teamshares in the small business landscape.” – Philip Bartow, Managing Director, Sound Point Capital.