OffDeal has secured $12 million in Series A funding to advance its artificial intelligence-driven approach to investment banking, targeting small and medium-sized businesses overlooked by traditional financial institutions. The New York-based startup, valued at $100 million following the round led by Radical Ventures, aims to streamline deal execution through automated workflows.
Rebuilding Investment Banking Infrastructure
The company operates with fewer than 10 employees whilst executing sell-side mergers and acquisitions through proprietary AI systems. Co-founder Ori Eldarov, a former RBC banker with an Harvard MBA, has constructed what he describes as a comprehensive reimagining of investment banking operations.
“This is a fully vertically integrated bank. We’ve rebuilt every layer — the org structure, the software, the data.” ~ Ori Eldarov, co-founder.
Unlike existing solutions that merely assist traditional banking processes, OffDeal’s platform handles complete deal workflows. The technology generates marketing materials, monitors non-disclosure agreements, creates confidential information memorandums, and manages buyer communications without human intervention.
Targeting Underserved Market Segments
The firm concentrates on lower middle-market companies generating $10 million to $100 million in revenue with EBITDA between $1 million and $10 million. This segment includes HVAC service providers, paving contractors, and Montessori schools—businesses traditionally underserved by major investment banks.
Co-founder Alston Lin, previously an engineer at Meta, developed a proprietary database containing millions of US companies. This system matches clients with potential buyers through algorithmic analysis, replacing the manual research typically conducted by junior analysts.
Performance-Based Compensation Structure
OffDeal’s bankers receive a $100,000 base salary plus 20% of the firm’s 5% transaction fee. Managing Director Sam Mielke, aged 25 and formerly with a boutique investment bank in Minneapolis, expects to earn a $2 million bonus in 2025. Each banker can simultaneously manage up to 10 transactions, with the firm targeting four-month deal cycles.
The company charges clients a 5% success fee without requiring upfront retainers, aligning its interests with deal completion rather than advisory work.
Scaling Automation Capabilities
With approximately 10 transactions completed or nearing closure, OffDeal plans to expand its technological capabilities and reduce human input across deal processes. The firm is developing customer relationship management tools and enhanced platform integration to support its growth objectives.
The startup targets $100 million in annual revenue by 2027, leveraging its automated approach to handle increased deal volume without proportional staff expansion. This model challenges traditional investment banking economics, where personnel costs typically scale with transaction volume.
“We’re giving our bankers the best part of the job: actual execution, client service, and strategic judgement” ~ Ori Eldarov, co-founder.
The funding round positions OffDeal to compete with established firms by offering comparable services at reduced costs through technological efficiency. The company’s approach reflects broader trends towards automation in financial services, particularly in segments where traditional providers have limited presence due to economic constraints.