U.S. online lender Kabbage Inc. will no longer fund any businesses that it identifies as sellers of firearms or ammunition to individuals under 21 years old or that sell or manufacture any form of assault-style weapon, according to a blog post signed by CEO Rob Frohwein, President Kathryn Petralia and COO Bob Sharpe.
The company plans to roll out the policy for existing customers "as quickly as possible." The change is in response to a February school shooting in Florida, which prompted a number of companies to evaluate their operational and investment strategies related to firearms manufacturers.
Frohwein said the change will affect less than 1% of Kabbage's clients, the Financial Times reported. Kabbage is discussing the policy with the affected companies and asking them to look for another source of funds, according to the report.
