Dallas — A Dallas area fintech company has raised $76 million from San Francisco-based venture firm FTV Capital.
StoneEagle Services sells virtual “credit cards” for business-to-business payments to the healthcare and automotive industries, among others. The idea is to digitize traditional processes, such as insurance company payments to healthcare providers or reimbursements for automobile warranty claims.
“If a doctor submits a claim and the claim is approved, we can move amount of payment to the doctor through a virtual card right back to office, versus having to wait for a check,” says Andy Roberts, StoneEagle Services’ CEO. “We can get them their money much quicker.”
The process, Roberts adds, is also safe—StoneEagle’s “v-cards” are one-time use only. “The card is generated for a one-time use and only for a specified amount,” he says. “If it was stolen, it would be worthless.”
StoneEagle Services is part of a set of companies based in Richardson, TX, just north of Dallas, originally founded in 1987. StoneEagle Insurance Systems, the original firm, sold enterprise-wide insurance software for businesses and over the years expanded its services with Web-enabled applications as the Internet became more widely used. The company’s “VPay” product was developed about a decade ago.
With the FTV investment, StoneEagle Services has been spun out on its own. Roberts—most recently president and CEO of Tennessee-based Fleet One, a provider of fuel cards and fleet management information services to trucking, commercial, and government vehicle fleets—took over the reins as CEO this week. StoneEagle co-founder Bobby Allen is becoming chairman of the board.
Roberts says the company will use the funds to make software improvements, as well as to increase sales and marketing staff. “We’re going to evaluate other opportunities and segments,” he says. “We can’t see which for sure now; we’ll do an analysis over the next few months.”
