Mary Beth West has been on the retailer’s board for 10 years.
The provider of electronic payment processing services says it will use the new capital to build out its payment processing infrastructure and expand its check-guarantee business.
Electronic Clearing House Inc., or ECHO, provider of electronic payment processing services, has raised $3 million through a private placement of 437,957 shares of its common stock with institutional investors.
ECHO says it will use the new capital, amounting to $2.8 million after commissions and expenses, to build out its payment processing infrastructure and expand its check-guarantee business. “We expect continued strong demand for our check products and solid growth in our MerchantAmerica sales channel,” said CEO Jody Barry.
ECHO provides a range of Internet payment services, including online credit card and check processing. It also provides e-commerce services, both directly and with technology partners, for building online stores.
In addition, ECHO has secured a line of credit facility from Bank of the West, providing up to $3 million for working capital purposes.