Debt Financing

“If you need to be able to finance the chips, and you do, nothing's more financeable than an NVIDIA GPU. Nothing.”

“As the world gets more unequal and outcomes are more discontinuous, debt financing does just broadly not make sense for people, right? The equity model.”

“As companies look to get to scale, especially in direct air capture, and once you get to like triple digit, or even triple digit millions, or billions of dollars of capex, debt financing, non-recourse financing is, is ultimately going to be needed.”

“It's very difficult to apply some loan to value or advance rate or however might finance the stuff. If there's binary risks that the whole thing might go poof.”

“We use debt financing to finance very long-dated capital projects like dormitories. We should have the most boring portfolio of debt ever. It should be long-dated, and it should be a fixed rate to provide budget certainty. If we're going to take risk, we shoul…”

“If you really genuinely think that you could build a hundred million dollar business, then you're probably going to want to go out to venture money because you're going to need to raise two or three times. And debt probably won't help you do that over the long…”

“We did do the debt financing and you know, we raised 250 K debt and then also two 50 K initially, you know, at 6.5 million valuation.”

“You know, we built an incredible company called Move simply on the back of a little bit of equity and a lot of debt.”

“I think that the rule is debt before equity. If you can get it, it's cheaper. Equity capital is super expensive. You can't get debt until you already have revenue. Once you can get debt, you should get debt. You stack equity on top of it. But even if you just …”

“You know, when we have a physical business that's relatively predictable, you raise some equity, but then you follow it on with debt, or, you know, you wanna buy companies or vertically integrate the supply chain, just raise debt. You know, these are predictab…”

“And like, I think SAS actually can be incredibly, Powerful when matched with debt, because if you understand your unit economics with enough, enough depth, like if you understand churn, if you understand expansion, if you understand acquisition, you can actual…”

“One of the things that I'm considering doing, and if you end up doing this, email me or tweet me is I am matching. Whatever you get from COVID. So if you like applied and got a 200,000 dollar check from the COVID funds, I will, would give you another 200,000 d…”

“Sometimes you raise debt financing versus equity financing, not so much because you can't raise equity financing, but because you can't have the right valuation. And you, and with a business that has, you know, eight figure meaningful revenue, you're, you have…”