Lease-to-own financial services and consumer finance
Strategic Profile
FlexShopper targets nonprime consumers, typically defined as those with FICO scores below 660, through both its direct-to-consumer (DTC) marketplace and its business-to-business (B2B) retail partnerships. The company's VLO technology platform is the central nervous system for its operations, enabling instant underwriting across channels through a cloud-based system that supports both Direct-to-Consumer via FlexShopper.com and Business-to-Business partners.
Cyborg Score Rationale
FlexShopper reported delays in filing its Annual Report on Form 10-K for the year ended December 31, 2024, and Quarterly Reports on Form 10-Q for subsequent periods, leading to deficiency notices and delisting proceedings from The Nasdaq Stock Market. The company faced operational and governance challenges prior to acquisition.
Top Insights
In January 2025, total new customer application volume surged by 130% year-over-year, and marketplace originations-leases funded through their own platform-jumped by 93% year-over-year.
The credit agreement was expanded to allow for funding commitments of up to $200 million as of April 2025, an increase from the previous $150 million limit, managed through an agreement with lenders, including an affiliate of Waterfall Asset Management, LLC, acting as the administrative agent.
The company raised approximately $12 million in proceeds from a rights offering between November 2024 and early 2025, which was used, in part, to pay down borrowings under the credit agreement.
FlexShopper's board concluded that certain previously issued financial statements for multiple periods should no longer be relied upon, citing an ongoing independent investigation into alleged misrepresentations and forged documents.
Named Competitors
PROG Holdings — Lease-to-own and consumer finance provider
Upbound — Lease-to-own and lending platform
Zebit — Online lease-to-own marketplace for nonprime consumers
Recent Developments
(March 2026) Acquired by Snap Finance
(October 2025) Received delisting notification from Nasdaq due to non-compliance with filing requirements
(April 2025) Credit facility expanded to $200 million from $150 million