On Tuesday, October 12, Capchase Co-founder and CEO, Miguel Fernandez, sat down for a 20-min fireside chat with Eric Mouilleron, CEO of Bankable, to discuss how Bankable sought revenue-based financing to grow. Hosted by SaaStock EMEA Online 2021, this conversation was all about revenue-based financing and how to use it to grow faster and without dilution.
When raising capital, the traditional approach is giving away equity. However, the last year has seen a huge shift towards non-dilutive financing (especially among 2nd time-founders). Rather than raising traditional venture debt, Mouilleron sought alternative financing sources, landing him on Revenue Financing with Capchase to grow Bankable. In the conversation, Fernandez mentioned that the big difference between revenue financing and other forms of financing is that revenue financing allows companies to access the revenue that they know they’ll make later, just sooner and faster, and without taking dilution or debt.
According to Mouilleron, Bankable is in the “too-good-to-be-true” category of products, and he feels that Capchase is in that same category. He shared that he hadn’t heard of revenue financing until he started searching for sources of funding for his business. Getting financed with Capchase is so simple: register on our app, securely connect your company’s financial data, and receive your funding proposal within 24 hours. As he said, “the hardest part about the revenue financing process was explaining how it worked to our accountant. That took more time than getting financed itself.” He also noted that it's been a consistent and positive experience to work with Capchase.
Revenue financing is a great source for alternative funding for companies with $100K+ in predictable ARR (typically companies with subscription-based revenue models), and who are interested in rapid growth. As your company grows in ARR, your revenue finance threshold increases as well so you have access to even more capital through Capchase. When asked by Fernandez “how far do you think revenue financing can help you grow?” Mouilleron replied that revenue financing is the new “friends-and-family” investment for startups, but with Capchase, this investment could even be enough to get companies to the IPO stage; “I think Capchase can take companies far.”
For founders who want to stay in the driver’s seat of their companies, Revenue Financing with Capchase is a fast, flexible, and fair option to keep this a reality.