Nov 04, 2021

Why I Joined Arc

Eric McFarland portrait
Eric McFarlandChief Credit Officer

15 years ago I sat in a cramped community bank board room reviewing loan files as a bank examiner. As we assessed management qualifications, I read the bank CEO’s resume which stated he had over 25 years of BAKING experience!

While I’m sure he meant BANKING experience, it was one of the many times in my career that led me to believe that the traditional path was the best path. But after many years in commercial banking and risk management covering technology and financial institutions the coolest thing is happening. There is a revolution driven by savvy founders that want more than a cuff-linked banker handing out SBA loans. It’s a stark contrast from my days compiling a physical loan file. The shift is dramatic and has only accelerated since my earliest days leading the tech-forward lending operation at Brex.

‍I joined Arc because capital shouldn’t take months to access and shouldn’t require you to give up ownership in your business.

It shouldn’t require you to sign away your life with egregious personal guarantees or endless requirements to email financial statements or figure out complex terms. Founders deserve faster and more transparent underwriting. And this is the future of funding for growth companies.

After spending nearly two decades in underwriting as Head of Underwriting at Brex, Chief Credit Officer at Brex Venture Debt, tech lending at Silicon Valley Bank, syndicated lending at Bank of America Merrill Lynch, and card lending at American Express, I’ve seen inside the black box of traditional underwriting. It is filled with antiquated IBM mainframe systems from the 1970’s and paper loan files in cabinets. It’s bogged down by approval systems and manual processes.

But newer technology and risk analysis that Arc uses unlocks faster and more transparent underwriting. It took less than two months from the first line of code to funding Arc’s first deal. We’ve raised venture backing from an impressive syndicate and are closing on sizable debt funding in record time.

While I’m a husband and father first (of six kids), I’m excited to join the Arc family. The team is amazing (and we’re hiring) and the revolution in underwriting is happening today! We’re moving fast to change the face of financing for the better.