Growth Without Limits
River SaaS Capital provides discerning advice and non-dilutive capital to early-stage, high-growth SaaS businesses helping founders drive milestones and achieve success.
Venture Debt Warrants: Are They Right for Your Growth Strategy?
Read our eBook to learn the advantages and disadvantages that warrants add to venture debt arrangements.
Discover how we’ve helped SaaS companies achieve their goals.
Learn about venture financing options and other SaaS industry trends in our blog.
What is venture debt?
Venture debt is a special type of debt financing that allows fast-growing companies to obtain non-dilutive capital, as they can borrow against their recurring revenue stream. Venture debt can be used on its own by companies who are self-funding their growth or used to complement equity-based venture capital investment at various stages.
How can equity complement debt financing?
As a SaaS business matures, its capital needs generally shift, making equity a strategic option. Equity financing does not require principal and interest payments and can be obtained while your current debt package is still in use. There’s no requirement to satisfy your debt obligation prior to obtaining equity, so it remains a strategic growth capital tool that can be used as needed to satisfy your current growth status and future goals.
How do dilutive and non-dilutive capital differ?
Dilutive capital is funding that involves giving up a percentage of ownership in your business. Non-dilutive capital does not involve equity, so it allows you to use the money received and run your business with complete control. While both dilutive and non-dilutive capital have benefits, the decision between them depends on your specific goals.
What is our venture debt criteria?
Venture debt financing from River SaaS Capital is designed to support your success from the beginning of our relationship to the day you decide to pursue other solutions or exit. Whether you’re looking to accelerate your sales and marketing efforts or are considering debt funding for another strategic purpose, we offer the terms and flexibility you need to achieve your growth goals.