venture debt

“Venture debt is fantastic. I would always recommend that over selling equity. But you have to have the track record and the solid books and finances to be able to do so.”

“So I would definitely tell anybody listening, if you're going to do debt, make sure it's covenant free, not covenant light, like covenant free.”

“The ratio of venture debt to money in the bank that you have, it's really a insurance policy and it extends your runway a little bit, but it can really come back to bite you. Depending on like a few different scenarios, how it ends and things like that. Well, …”

“There's a leverage limit to what the venture debt people will give you, and then you can generally get more debt from a mezzanine provider, and you'll pay a higher, much higher rate of interest, maybe three or four times what you pay on the venture debt, but y…”

“I had some thought and experience exchange with other founders who did venture depths, and as soon as they cross or match and miss some of the important KPIs, these players might become really, really stressful.”

“I think deck makes a ton of sense if you have more than a few variables that have already been answered to. And you only require growth capital in order to just fuel the rocket and drive it forward.”

“We're looking into venture debt as we speak. So we actually looked at equity for our series A for our future development that we are really interested in venture debt for, especially for everything relating to maybe acquisitions looking into maybe expanding.”

“Venture debt, the banks that we work with only give you venture debt if you're after a series A.”

“What I mean by that is only if you would know how to take, so let's say Forex, your current MRR. So let's say you knew how to take a 120 grand today and land more than like 10 K a month in new revenue sometime over the next six months with that 120 K. Only if …”

“You can leverage about depending on the strength of your business, somewhere between .8 and 1.2 times your AR, and we can flex up a little more.”

“This will be a two million dollar loan with a initial 12 month interest only period. Fairly high interest rate, but we're staying away from warrants.”

“That's always cheaper than equity. If you think you're going to be successful, that is always cheaper.”

“For me personally, I would rather not give up the warrants, you know You know cause you know, I mean, the whole purpose of debt is that you that you try to limit, you know, but it depends on how big the warrants are and what kind of a partner it is. I wouldn't…”

“When you do that as an entrepreneur, you've got to be of the belief that the value creation you're going to be able to do, because again, the thesis here is that you're using that debt to really accelerate sale. You know, you're not using it for product develo…”

“Months, months. And then they want to meet the founder and they want to like, you know, look at all your books and everything. Like, so it's just like slightly less painful than doing a bonafide like venture round.”