Shoham Business

What Shoham Business does

Shoham Business (א.נ. שוהם ביזנס) is an Israeli non-bank financial services company publicly listed on the Tel Aviv Stock Exchange under ticker SHOM. Founded in 1993 and repositioned under current management in 2015-2016, the company is headquartered in Zikhron Ya'akov and operates with a small team (11-50 employees). Its single core product is commercial check discounting: Shoham purchases deferred (post-dated) checks from business clients at a pre-agreed discount and disburses immediate cash, banker's check, or bank transfer, supplemented by working capital loans. End markets include the broader business sector plus targeted verticals of construction, infrastructure, transportation, and commerce, all of which face cash-flow timing gaps between receivables and obligations.

The company is supervised by Israel's Capital Market, Insurance and Savings Authority under the Supervision of Financial Services Law, holds a Treasury Ministry currency-services approval, and is rated Baa2.il by Midroog. Revenue is generated primarily through transaction-based discounting commissions and interest on working capital loans, with funding sourced from bank credit facilities (Bank Leumi up to 95M ILS, Bank Discount up to 175M ILS) and a 100M ILS Series A bond issuance. There is no proprietary technology platform, app, or API; operations are conducted through direct B2B sales and a relationship-based underwriting process led by management with 30+ years of non-bank financing experience.

Strategic posture is one of scale and selective expansion: the credit portfolio grew 69% YoY to 224M ILS by Q1 2019 and 2018 financing income reached 21M ILS (up ~89% YoY). The company has pursued bond and private placement funding to lower capital costs, and in October 2021 signed a cooperation agreement with Navi (Noy) for a joint venture with a US-based factoring company — its first move outside Israel. Controlling shareholder and CEO Eli Nidam holds a significant equity stake (approximately 39-49% over time) and personally guarantees bank credit facilities, concentrating ownership and credit risk.

Name

Shoham Business

Legal name

א.נ. שוהם ביזנס בע"מ

Website

https://shohambiz.com

Company type

Public

Founded year

1993

Operating status

Operating

Headcount range

11–50 employees

Short description

Shoham Business is an Israeli TASE-listed non-bank lender that discounts deferred commercial checks and provides working capital loans to SMEs and enterprises across construction, infrastructure, transportation, and commerce verticals in Israel.

Ownership category

akta.pro rank

Product category

Non-bank Commercial Lending

NAICS

Sales Financing (52222)

SIC

Short-Term Business Credit Institutions (6153), Miscellaneous Business Credit Institution (6159)

akta.pro primary industry

Private Credit — Trade Finance & Receivables Finance (FSAHAJAK)

Keywords

• Check discounting services
• Non-bank financing
• Working capital loans
• Commercial lending
• Deferred receivables financing

Headquarters

HQ city

Hadera

HQ country

Israel

HQ region

Middle East

Offices1 record

Markets served

GTM type

B2B

Offering type

Services

Cost components

Operations, Personnel, Infrastructure, Others

Revenue model

1. Check Discounting Fees: The company converts deferred checks into immediate cash for businesses, charging a fee/commission agreed upon in advance. This is the primary revenue stream.
2. Working Capital Loans Interest: The company provides loans for working capital needs to business sector clients, generating interest income.
3. Bond Interest: Company raised debt through bond issuance (Series A) of 100 million ILS at 4.6% annual interest.

Pricing tiers

Go-to-market motion1 record

Distribution channels1 record

Marketing channels2 records

Core offering

Shoham Business is a licensed Israeli non-bank financing company that provides commercial check discounting services, converting deferred checks from businesses into immediate cash, banker's checks, or bank transfers in exchange for a pre-agreed commission fee. The company also provides working capital loans to businesses and operates a Business Permit Instrument (שטר היתר עסקה) service that supports business transactions and financing activities.

Product overview

Shoham Business is a single-product financing company offering commercial check discounting services that convert deferred checks into immediate cash for business customers. The company operates as a unified core offering in the non-bank financing sector, supplemented by regulatory compliance services and investor relations support for its TASE-listed status. The primary product is check discounting/financing, with additional services in regulatory compliance and investor communications.

Differentiator

Problem solved

Functional benefit

Products and services

• Check Discounting / Commercial Check Financing (ניכיון/מימון צ'קים מסחריים) Core financing service that converts deferred commercial checks into immediate cash, banker's checks, or bank transfers for a pre-agreed commission fee. Targeted at Israeli businesses requiring working capital liquidity.
• Business Permit Instrument (שטר היתר עסקה) Business permit instrument service supporting business transactions and financing activities for Israeli business clients.
• Working Capital Loans Working capital loans provided to business sector clients to address immediate financing needs and support operational liquidity.

Segments5 records

Ideal customer profiles1 record

Technology focussed No

API detail

Has API

No

API docs

API detail

Core technology

AI maturity

App detail

Partnerships

One partnership is on record.

• Navi (נאוי)minorStrategic or Co-development Partner · 1 October 2021Partnership for joint factoring transactions with US-based American company operating in factoring business in the United States.

Scale indicators5 records

Recent moves9 records

Expansion highlights4 records

Broad incumbents

• First International Bank of Israel: Mid-sized Israeli bank with a focus on commercial and SME lending. Targets the same business customer segment as Shoham with corporate banking and working capital products, providing a comparable broad-incumbent benchmark.
• Israel Discount Bank: Third-largest Israeli bank and Shoham's largest credit facility provider (175M ILS). Offers SME and commercial lending products that overlap with Shoham's working capital financing while competing for the same business customer base.
• Mizrahi Tefahot Bank: One of Israel's major banks with a strong SME and mortgage franchise. Competes with Shoham for business-sector financing customers through its commercial banking arm and serves as a broad-incumbent comparison point for working capital and receivables financing.
• Bank Leumi: Second-largest Israeli bank and one of Shoham's primary bank facility providers. Operates a large corporate and SME lending franchise including factoring capabilities, overlapping with Shoham's target market but with a much broader product portfolio.
• Bank Hapoalim: Israel's largest bank, offering SME lending, factoring, and working capital solutions across the same business customer base as Shoham. As a broad incumbent it competes for the same SME financing demand but as part of a much wider retail and corporate banking franchise.

Direct peers

• eCapital: A North American non-bank factoring and receivables finance provider serving SMEs with working capital against invoices and receivables. Closely comparable to Shoham's core product of converting deferred receivables into immediate cash for business customers.
• Bibby Financial Services: A global specialist in receivables financing and factoring for SMEs. Operates a directly comparable business model to Shoham—converting deferred receivables into immediate working capital for businesses—and represents the international archetype of the check-discounting/factoring category.
• altLINE (formerly The Finance Company): A US-based non-bank lender specializing in invoice factoring and working capital lines for small businesses. Operates the same receivables-financing model that Shoham applies to commercial checks, serving an overlapping SME customer base.

Market position

Strengths4 records

Weaknesses4 records

Competitive moat3 records

Key risks6 records

Key highlights6 records

Customer concentration

• Facebookfacebook.com/%D7%90%D7%A0%D7%A9%D7%95%D7%94%D7%9D-%D7%91%D7%99%D7%96%D7%A0%D7%A1-%D7%91%D7%A2%D7%9E-2109855549240055
• LinkedInlinkedin.com/company/shoham-business

Compliance5 records

Revenue estimate

Valuation estimate

Number of profiles

Profiles6 records

Funding overview

Funding rounds

Investors

Funding detail is available on the Subscription and Enterprise plan.Contact sales →

M&A

Investments

M&A and investment is available on the Subscription and Enterprise plan.Contact sales →

Frequently asked questions about Shoham Business