GreenSky Rewarded For Thinking Out of the Box

David Zalik, the Chief Executive Officer (CEO) of GreenSky, is not like other CEOs of a major company.

Zalik, a billionaire, does not talk to the media much. He does not accept invitations to conferences. He has not spent last ten years raising outside capital. His employees don’t get free food or play games.

The latest move by his company is definitely something that other Silicon Valley companies would do. The Wall Street Journal believes that Zalik’s company will do an IPO but it will do it confidentiality. This move is unconventional but it will raise his company $1 billion with a $5 billion valuation.

If Zalik does go public, he would not be doing the same as companies like Credit Karma, Stripe and Uber as they don’t plan to go public. Private companies don’t go public because when they do, they are heavily pressured by investors and quarterly earnings. They can keep the cash to keep the company operating and growing.

Zalik’s company could change its mind and it will not do an IPO. It will not fill out the paperwork with Securities and Exchange Commission (SEC). This move would mean that it can prepare without the public spotlight on it.

Zalik, a 44-year-old, founded GreenSkyin 2006 and has, without fanfare, developed one of the biggest financial technology companies in America. Most companies like GreenSky would complain about banks and suggest to the public that they are a better way to do finance. Zalik has no problem with banks and actually has been working with banks for many years. n

One of the keys to GreenSky’s success that its bank partners are the ones who are taking the financial risk. Some of its bank partners are SunTrust, Regions and Fifth Third and they are the ones that GreenSky loans as part of their balance sheets. Zalik’s company will not be in trouble if any of these loans defaults. GreenSky does benefit from their relationship with their bank partners and they pay 1 percent of the balance from GreenSky loans.

Zalik thinks out of the box and so far, has been rewarded for doing so.

https://www.indeed.com/q-Greensky-Credit-jobs.html