Parker, a startup that provides corporate credit cards for e-commerce businesses, has come out of stealth with $157 million in equity and debt funding, a significant portion of which was secured in 2022. Positioned as “the first charge card for e-commerce,” Parker’s credit limits are on average 10 to 20 times higher than those offered by traditional business credit cards like CapitalOne, American Express, and Brex.
The company’s founders, Yacine Sibous and Milan Ray, were originally focused on computing but transitioned to e-commerce after encountering financial challenges in that space. Parker, which was part of Y Combinator’s winter 2019 cohort, serves middle-market companies with annual sales of $3 million to $100 million.
The startup’s underwriting process evaluates cash flow to determine credit limits that are appropriate for each business, with credit limits reaching as high as $10 million, according to CEO Sibous.
Parker also offers payment terms that are tailored for e-commerce, including net terms on every transaction, allowing customers to delay payment until a later date.
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According to Sibous, the way credit card statements work has been fundamentally altered by Parker. Instead of the traditional monthly statement, daily or weekly statements are now an option. This modification greatly benefits the brands by improving their cash flow.
Sibous believes that despite competition from venture-backed companies such as Moss and Emburse, Parker has a good chance to succeed in the c