The partnership will benefit thousands of merchants through the newly approved CARES act benefits and generate a new source of revenue for the Company
MIAMI, FL, April 09, 2020 (GLOBE NEWSWIRE) -- via NEWMEDIAWIRE -- Net Element, Inc. (NASDAQ: NETE) (“Net Element” or the “Company”), a global technology and value-added solutions group that supports electronic payments acceptance in a multi-channel environment including point-of-sale (“POS”), e-commerce and mobile devices, today announces its partnership with Power Capital Direct to provide small business loans to its merchants.
Power Capital Direct is a boutique financial services company specialized in providing financing solutions to small and medium size companies nationwide. Their management team has over 30 years of banking, management and investment experience. Power Capital Direct works with several approved SBA lenders nationwide and will work with the Company to support its merchants in obtaining financing. The recently approved CARES Act benefits small businesses with fewer than 500 employees that have been affected by the COVID-19 pandemic by making available to qualified businesses interruption loans and loans under the Small Business Administration (“SBA”) Section 7(a) program to cover payroll and other working capital expenses of up to $10 million from SBA lenders through the existing SBA 7(a) loan guarantee program.
“The financial health of our merchants is of paramount importance to us. We look forward to supporting our small business merchants through this partnership with Power Capital Direct and assist them in obtaining financing while creating a new source of revenue for the Company,” commented Oleg Firer, CEO of Net Element.
“We are accepting new applications for the SBA Paycheck Protection Program through our business alliances with SBA-preferred lenders. Some loans may qualify as grants, all W2 payroll expenses are eligible for the loan amount calculation to pay payroll, mortgage, rents and utilities,” commented Jorge Montero, general manager for Power Capital Direct. “Most banks are still on hold, figuring out how to proceed, we are open and processing applications.”
About Net Element
Net Element, Inc. (NASDAQ: NETE) operates a payments-as-a-service transactional and value-added services platform for small to medium enterprise ("SME") in the U.S. and selected emerging markets. In the U.S., the Company aims to grow transactional revenue by innovating SME productivity services using various technology solutions and Aptito, our cloud-based, restaurant and retail point-of-sale solution. Internationally, Net Element's strategy is to leverage its omni-channel platform to deliver flexible offerings to emerging markets with diverse banking, regulatory and demographic conditions. Net Element was ranked as one of the fastest growing companies in North America on Deloitte's 2017 and 2018 Technology Fast 500™. In 2017 we were recognized by South Florida Business Journal as one of 2016's fastest-growing technology companies. Further information is available at www.NetElement.com.
Securities Exchange Act of 1934, as amended. Any statements contained in this press release that are not statements of historical fact may be deemed forward-looking statements. Words such as "continue," "will," "may," "could," "should," "expect," "expected," "plans," "intend," "anticipate," "believe," "estimate," "predict," "potential," and similar expressions are intended to identify such forward-looking statements. All forward-looking statements involve significant risks and uncertainties that could cause actual results to differ materially from those expressed or implied in the forward-looking statements, many of which are generally outside the control of Net Element and are difficult to predict. Examples of such risks and uncertainties include but are not limited to what impact or resultant benefits Power Capital Direct agreement will have on merchants, how many merchants will avail themselves of the loans and how much, if any, revenue will be realized by the Company from this partnership. . Additional examples of such risks and uncertainties include, but are not limited to (i) Net Element's ability (or inability) to obtain additional financing in sufficient amounts or on acceptable terms when needed; (ii) Net Element's ability to maintain existing, and secure additional, contracts with users of its payment processing services; (iii) Net Element's ability to successfully expand in existing markets and enter new markets; (iv) Net Element's ability to successfully manage and integrate any acquisitions of businesses, solutions or technologies; (v) unanticipated operating costs, transaction costs and actual or contingent liabilities; (vi) the ability to attract and retain qualified employees and key personnel; (vii) adverse effects of increased competition on Net Element's business; (viii) changes in government licensing and regulation that may adversely affect Net Element's business; (ix) the risk that changes in consumer behavior could adversely affect Net Element's business; (x) Net Element's ability to protect its intellectual property; (xi) local, industry and general business and economic conditions; and (xii) adverse effects of potentially deteriorating U.S.-Russia relations, including, without limitation, over a conflict related to Ukraine, including a risk of further U.S. government sanctions or other legal restrictions on U.S. businesses doing business in Russia. Additional factors that could cause actual results to differ materially from those expressed or implied in the forward-looking statements can be found in the most recent annual report on Form 10-K, quarterly reports on Form 10-Q and current reports on Form 8-K filed by Net Element with the Securities and Exchange Commission. Net Element anticipates that subsequent events and developments may cause its plans, intentions and expectations to change. Net Element assumes no obligation, and it specifically disclaims any intention or obligation, to update any forward-looking statements, whether as a result of new information, future events or otherwise, except as expressly required by law.
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Source: Net Element, Inc.