Rockbridge Growth Equity Purchases Stake in Ready Financial

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Jan 04, 2010, 09:00 ET

LIVONIA, Mich., Jan. 4 /PRNewswire/ -- Rockbridge Growth Equity has led a $7 million capital investment in Ready Financial, provider of the READYdebit® Visa® prepaid card and online bill payment and check writing service. Boston-based Flybridge Capital Partners participated as a co-investor with Rockbridge.

Ready Financial is focused on bringing more affordable financial products to the millions of U.S. consumers who are under served by their existing banks. The company's initial product, the READYdebit Visa prepaid debit card, provides consumers with a comprehensive, lower-cost alternative to high-fee checking accounts.

"Ready Financial provides consumers with robust, safe and, most important, affordable solutions for their banking needs," said Rockbridge Growth Equity Partner Brian Hermelin. "We are eager to leverage the substantial direct-to-consumer knowledge and best practices of our portfolio of companies to help Ready Financial grow into one of the leading direct-to-consumer financial service providers in the country."

Will Tumulty, founder and CEO of Ready Financial, said formerly banked and under served U.S. customers are a large and growing segment of the market. "These customers pay a significant amount of money in fees for 'free' checking or for cashing checks, buying money orders and simply paying their bills. Rockbridge Growth Equity brings a substantial amount of value to the table, above and beyond providing capital. We are thrilled to work with Rockbridge to advance Ready Financial's leadership position in this growing industry," Tumulty said.

As part of the funding, Rockbridge Growth Equity will be represented by two seats on Ready Financial's Board of Directors. Jeff Bussgang of Flybridge Capital Partners also will join the Board.

About Rockbridge Growth Equity

Rockbridge Growth Equity is a middle market private equity firm started by Quicken Loans Chairman and Founder Dan Gilbert. Based in the metropolitan Detroit area, Rockbridge is focused on middle-market transactions in the consumer direct marketing financial services; sports, media & entertainment; and business services industries. For more information, visit www.rbequity.com.

About Ready Financial

Founded in 2006, Ready Financial Group offers the READYdebit® Visa® prepaid card with online bill payment and check-writing service-an affordable alternative to high-fee checking accounts. In 2009 US banks will collect nearly $40 billion in bounced-check and overdraft fees-hundreds of dollars per household. Our products are specifically designed to prevent overdrafts, with the potential to save American consumers billions in fees annually. The READYdebit card is accepted everywhere Visa debit cards are accepted worldwide and all deposits are insured by the FDIC. Visit www.readydebit.com.

About Flybridge Capital Partners

Flybridge Capital Partners is an early-stage venture capital firm whose mission is to assist entrepreneurs in growing innovative, global companies. With $560 million under management, the firm is focused on investing in consumer, energy, healthcare and information technology markets and is led by a team with domain expertise and more than half a century of combined experience in venture capital. For more information, visit www.flybridge.com.

SOURCE Rockbridge Growth Equity