A company that lends money to insurance agencies has raised about $250 million from investors.

Oak Street Funding L.L.C., Carmel, Ind., obtained the capital through loans completed with DZ Bank A.G. Deutsche Zentral-Genossenschaftsbank Frankfurt, Germany, and NewStar Financial Inc., Boston.

Oak Street lets insurance agencies secure loans using anticipated streams of insurance policy commission revenue.

Agencies can use the financing for succession planning, mergers, acquisitions and working capital, Oak Street says.