Escalon Services, a comprehensive one-stop shop for startups and SMBs, has announced its acquisition of Early Growth Financial Services, a leader in CFO services for early-stage companies. This strategic move is set to significantly enhance Escalon’s product offerings and market reach, particularly in the crucial area of early growth financial services.
“We are incredibly enthusiastic about acquiring Early Growth,” stated Anurag Pal, CEO of Escalon. “Their market-leading position in CFO services for startups perfectly complements our existing client base and allows us to substantially broaden our product suite for all customers. We truly believe this acquisition will create exponential benefits for everyone involved.”
The acquisition was supported by credit facilities of up to $44.0 million from WhiteHorse Capital. Jim Wolf, Principal at WhiteHorse Capital, commented, “We are pleased to support Escalon’s management team in this transaction and their broader strategy to consolidate the Essential Business Services (EBS) market for small and medium enterprises. We see significant opportunity in this sector.”
Ruby Sahiwal, chairman of Escalon Services, further emphasized the consolidation strategy: “The EBS market is ripe for consolidation. We intend to leverage our proprietary technologies, developed over the past 15 years, to drive this consolidation and create a more integrated service offering.”
Escalon has demonstrated impressive growth since its inception in 2006, serving over 4,000 clients across 22 countries and achieving a 40 percent compound annual growth rate. This acquisition of Early Growth Financial Services builds upon this success and strengthens Escalon’s position as a key player in the market.
Early Growth Financial Services brings 12 years of experience supporting entrepreneurs in over 40 countries. They specialize in guiding startups through every financial stage, from initial financial modeling and budgeting to fundraising support, due diligence, board presentations, and even IPO preparation. Notably, Early Growth has supported 18 percent of all venture-backed technology startups at some point in their journey, showcasing their deep expertise in early growth financial services. Their team of 125 professionals has served over 1,000 clients across diverse industries.
David Ehrenberg, CEO of Early Growth, expressed his positive outlook on the acquisition: “Joining Escalon provides our clients with access to a much wider range of services, particularly in people operations and risk management. This expanded offering means our clients can partner with us for a significantly longer duration of their business lifecycle. I am confident this will enhance our core early growth financial services and broaden the solutions available to our entire customer base.”
Pal concluded, “At Escalon, our culture is centered around delivering ‘MORE’ value. This exciting acquisition of Early Growth exemplifies that commitment. Together, we can offer more comprehensive services to our clients, create greater synergies between our companies, and provide enhanced opportunities for our employees. We are dedicated to maximizing the potential of our team and driving success for our clients.”
About Escalon Services
Since 2006, Escalon Services has supported over 4,000 companies across various sectors and 22 countries, assisting businesses from early stages to IPO and beyond. Recognized multiple times on Inc. Magazine’s Inc. 5000 list, Escalon offers a comprehensive suite of Essential Business Services (EBS), providing clients with seamless, audit-ready solutions for Financial Operations, People Operations, and Risk Management.
About Early Growth Financial Services
Early Growth Financial Services is a leading provider of accounting, CFO, tax, and valuation services, supporting a significant portion of privately-funded, venture-backed startups in the United States (18%). With a presence in key startup hubs like Silicon Valley, San Francisco, Los Angeles, Austin, Chicago, Boulder, Seattle, and New York City, Early Growth serves a diverse clientele, including Indiegogo, TechShop, Quip Inc., and numerous other small- to mid-size businesses globally.
About WhiteHorse Capital
WhiteHorse Capital, the direct lending affiliate of H.I.G. Capital, manages $39 billion of equity capital. WhiteHorse provides debt financing to middle market companies across a wide array of industries, including business services, manufacturing, healthcare, technology, media, and more. Their broad investment mandate covers various financing needs, from refinancings to acquisitions and growth capital.
Media Contact
Michelle Garrett, Garrett Public Relations, +1 614-315-4037, [email protected]
SOURCE Escalon Services
