Bridge to your next equity round
Extending your runway allows you to improve your key metrics and therefore increase your valuation at your next equity round
We support successful tech founders on their journey to innovate and scale.
We implement together a proven strategy to help you get the best terms on the Venture Debt market and we stand with you side-by-side until closing and the money hits your account.
Once we get access to your data, we start our mandate by sending a short teaser to our network of funds rouse their appetite for your business and estimate the potential opportunities.
Once we get access to your data, we send a teaser to our network of funds to rouse their appetite for your business and estimate the potential opportunities.
In the mean time, we start to crunch your financial and business data (captable, balance sheet and income statement, debt contracts, customer base and market depth).
In the mean time, we crunch your data (captable, balance sheet and income statement, debt contracts, customer base and market depth).
Venture Debt funds do not have risk appetite than VC funds since they cannot get the same return. It is therefore important to emphasize the mission criticality of the business and its stickyness even more than its growth potential. A VD fund should be able to answer "yes" to the question "Will this company still be in business in 5-7 years?".
A Venture Debt fund should be able to answer "yes" to the question "Will this company still be in business in 5-7 years?".
To convince Venture Debt funds to invest, it is important to prepare yourself for the main presentation meeting. We coach you for all the strategic questions that you will have to answer.
We coach you for all the strategic questions that you will have to answer to convince a fund to invest.
We have preliminary meetings with the interested funds in our network to measure their appetite and areas of concern. We schedule and participate in the main meetings alongside you to make sure that the company shines.
We schedule and participate in the main meetings alongside you to make sure that the company shines.
As we go over the organized meetings, we will start to collect the Term Sheets from funds that want to participate in the bidding for the company. From this point onward, it is crucial to remain in control of the timetable and to define a clear schedule until closing for each remaining steps.
We collect Term Sheets and enforce a strict schedule from the negotiation phase until closing.
As we receive Term Sheets, we will be able to short list the most promissing ones and start to negociate. Venture Debt contracts have several strategic clauses (interest rate, warrants, interest only period, facility trigger...). Two Term Sheets will often be quite different and this gives us leverage.
We leverage the differences in Term Sheets received to get you the best final offer.
We remain committed until closing. Therefore, we will help you draft any additional documents that would be required during the due diligence to make sure this last step is also a success and the funds land on your account shortly.
We remain end zone during the due diligence to make sure this last step is also a success and the funds land on your account shortly.
Extending your runway allows you to improve your key metrics and therefore increase your valuation at your next equity round
When you raise in equity, it is the most opportunistic time to raise large amounts of venture debt since the company support from its investors at that time is obvious.
Funding an M&A transaction with debt is usually cheaper than equity which carries in the long run a much higher expected rate of return.
One of the best reasons to raise venture debt is to boost customer acquisition usually by expanding to new geographies with a promising demand.