Multiply

Multiply offers a financial service that provides liquidity solutions for employees of pre-IPO startups by allowing them to open a line of credit secured by their private company shares. This service is particularly beneficial for individuals who need funds for various purposes such as buying a house, emergency expenses, or diversifying investments, without having to sell their shares. The business operates in the financial services market, targeting employees of approved private tech companies. Multiply's business model involves issuing loans through Celtic Bank, a Utah Chartered Industrial Bank, with the borrower's equity serving as the only collateral. The company generates revenue through a draw fee and interest on the loans, with a floating SOFR rate. The service is free to open with no obligation to borrow, and it ensures no personal risk related to company performance. Multiply's offering is accessible and affordable, providing a flexible financial solution for those holding equity in private companies. Keywords: liquidity, pre-IPO, startup, shares, collateral, line of credit, financial service, equity, employees, tech companies