Note from the Publisher: Our headline on this story reads like a “riddle me this” statement, but in fact, it’s a perfectly accurate description of a VC deal which has just been announced by a company with the name “Financial-Information-Technologies LLC”, Fintech for short. Yes, they got there well before anybody else understood what this new term would mean, and they happen to offer a payments processing system for the “beverage alcohol industry”. So – fintech, alcohol and VC – perfect description. They even got the domain Fintech.net, which we COVET. The amount of the “strategic growth investment” from Luminate Capital was not disclosed in the press release, however, but it’s noteworthy that the firm processes over $24B in payments annually.
“Financial-Information-Technologies, LLC (“Fintech”), the leading provider of data, payment and software solutions to the beverage alcohol industry, has received a strategic growth investment from Luminate Capital Partners, a San Francisco-based investment firm.
Fintech’s flagship product, OneSource®, provides the beverage alcohol industry a single source, secure payment solution that ensures invoices are paid on time and in compliance within a highly-regulated environment. OneSource connects alcohol distributors with retailers and replaces cash, check, and money orders, reducing errors and saving customers time and money. In addition, Fintech offers software analytics and reporting that track inventory, pricing, and purchases for both retailers and distributors.
Walmart, CVS, Circle K Stores, Costco, Intercontinental Hotels and Resorts, LongHorn Steakhouse, Olive Garden, Outback Steakhouse, Whole Foods, and many other large retailers as well as independent stores and restaurants, representing over 430,000 nationwide trading relationships rely on Fintech’s solutions, which enable connections into almost 3,000 alcohol distributors in the U.S. and process more than $24 billion of payments annually.
“We have established Fintech as a clear market leader, and Luminate Capital is an ideal partner as we embark upon the next stage of our growth strategy,” said Scott Riley, CEO of Fintech. “Luminate brings specific expertise around product strategy, data solutions, and aggressive growth initiatives, all of which will help us offer more value-added solutions to our existing client base and expand our distribution to retailers across the country.”
“Fintech has built the market leader in alcohol payments over a 25-year history. As we have done with other investments, we intend to build upon that leadership by investing in software development to create more innovative solutions, expand our data analytics capabilities, and build a market-leading sales and partnership community to expand our market reach,” said Scott Kingsfield, an operating partner at Luminate, Executive Chairman of PDI and former president of the retail divisions of Radiant Systems and NCR.
“Fintech’s data and payment system is a truly best-in-class solution in the beverage alcohol market,” added Hollie Haynes, founder and managing partner at Luminate. “We intend to utilize Fintech’s unique position at the center of the beverage alcohol industry to provide insightful data solutions to all constituents in the beverage alcohol ecosystem. We can’t wait to embark on an exciting partnership with the Fintech team.”.