venture debt
7 statements across 3 episodes · 2 bullish · 2 bearish · 4 people on the record · first statement Dec 1, 2021 by Paul Ong · across every show →
Everything said about venture debt, oldest first
Dec 1, 2021 negative
Startups using lump-sum bullet debt repayments become less alluring to future VCs
“And what we've realized is that companies that don't deleverage, let's say you borrowed five million, prefer to pay Five million all at one shot after like two years or three years. That takes away from the allure of a company in the eyes of potential future i…”
Dec 1, 2021
InnoVen typically structures venture debt as two-to-three-year monthly amortizing term loans
“This is a blanket sort of summary, but it's typically a term loan with a tenure of somewhere between two to three years. What that basically means is that we provide the capital upfront and it gets paid back essentially on a monthly basis, principal plus a lit…”
Dec 1, 2021 bullish
Founders use venture debt to boost valuations ahead of future equity rounds
“So essentially what you are doing is you are leveraging the dollars that you bring in as a founder to unlock Even more capital to bring you nearer term value such that when you need to go out to market again, you incorporate that value into your valuation, for…”
Dec 1, 2021
Venture debt dilution savings primarily benefit startup founders, not the company
“Now, if it's a matter of dilution, or if it's a matter of wanting to cheapen your cost of capital, that cost Savings. Typically it's to the founder and not to the company. If I, as a founder raise equity, I'm diluting my shares. If I, as a founder raise debt, …”
Mar 11, 2025 positive
Weisbrot: Venture Debt Extends Seed Runway to Boost Series A Valuations
“Part of my argument is if you're, if you raised four or five million from a VC, your seed raise, whatever, and you can get an extra one and a half million dollars, it increases the likelihood that you'll survive to raise your A round. Because chances are you'l…”
Mar 11, 2025 negative
Mar 10, 2026 neutral
Omeed Tabiei: Venture Debt Fits Proven Unit Economics, Equity Fits Uncertainty
“Well, I think venture debt. Or any sort of debt works really well when you figured out your unit economics around customer acquisition. If you haven't necessarily figured out your unit economics around customer acquisition, I think it can be a bit daunting for…”