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GreenSky Credit is a financial technology (FinTech) company based in Atlanta, which reported a successful IPO and strong Q2 earnings . One of the largest FinTech companies in the United States, it is known as a “unicom” company, a term used by Wall Street and Silicon Valley insiders that refers to start-ups with a valuation of $1 billion dollars or more.

David Malik, the current billionaire CEO, founded the company in 2006 at the age of 44. He remains the majority owner of the company, and Forbes estimates his personal fortune to be approximately $2.5 billion dollars. GreenSky’s most recent valuation was $4.5 billion dollars.

GreenSky arranges loans for home improvement projects and prides itself on being different from other technology start-ups. The main difference is that it provides a point-of-sale lending platform, acts like a “middleman” between the borrowers and a variety of merchants numbering approximately 12,000, has 17,000 contractors ready to do much of the actual work, had an $800 million IPO in mid-2018, and made an alliance to secure lending from 14 financial institutions.

The company’s “magic” is not being on the hook for defaults because it transfers the risk to the banks that hold the loans on their balance sheets. GreenSky is also paid an average six percent of the loan amount and an estimated one percent of the balance every year for generating and servicing the loans.

Another recent alliance is with the credit card giant American Express, which will market the lending services to its massive merchant customer base. The merchants offer instant financing to their customers, and thus the merchants are able to close more higher ticket sales and the customers have access to quick financing by applying for a loan on their smartphones and getting a decision within seconds!

Between 2012 and 2016, GreenSky Credit loaned out more than $5 billion dollars. Forbes estimated revenue at $250 million in 2017, and Moody’s projected annual revenue for 2018 is more than $400 million.

https://www.glassdoor.com/Reviews/Greensky-Reviews-E937061.htm