It can be challenging to choose the financing model … Revenue-based Financing Companies .
Receive up to a year of in advance capital immediately, giving you the flexible financing you need to grow your business and scale. We supply the needed financing you need at that minute. Within 24 hours, we examine the funding needed and deposit it immediately to your account.
Capchase works with these users and organization types: Mid Size Company, Small Business, Enterprise, Freelance, Nonprofit, and Federal government.
what’s much better owning 100 of a 10 million
company or 15 of a 100 million dollar
business the answer how about the best of
both
you’re right with standard funding
that’s not really an option previously
keep your 100 with cap chase we use information
to make financing faster fairer and more
versatile based on your future
foreseeable income and then we cover it
all up with a single transparent charge
Let’s get this celebration began at
There is always a moment when a start-up’s creators, senior management team, and top finance executives assess strategies for how to scale the company to the next level and brochure what’s needed to do that successfully. Protecting financing at an early stage can speed up growth and lead to achievable and quantifiable success. Eventually, finance supervisors and the tactical planning group need to choose the right financing source to assist the business reach its goals.
that management sets for the company. Weighing the dangers and competitive dangers in a well balanced and smart way is essential as it can decide the future of your business The ramifications of offering equity, managing inconsistent cash flow, interest rate motions, and the need to make timely payments to lenders are amongst the aspects to consider, simply among others.
That stated, with the rise of brand-new and more sophisticated funding options that put the business interests of start-ups and midsize business first, there’s normally a way to determine a solution that’s an excellent fit. It’s important to investigate the various funding alternatives that are available to a business’s founders, management accountants, and financing officers and what considerations they require to produce both the brief and long term.
Lobo here co-founder at traction and boast AI delighted to host Miguel Fernandez co-founder and CEO of capchase a supplier of non-dilutive growth capital for repeating Income companies generally assisting business grow without quiting that precious Equity you took so long to develop Miguel welcome to traction thank you a lot for joining us Hey Lloyd thank you a lot for having me it’s great to be here yeah I’m extremely excited to share more amazing I’m thrilled to get into your backstory so let’s kick this off how did you come together with your Founders why cap Chase what else did you consider from what I understood you’re a very first time founder first time creator it’s like you hit a home run out of the park out of the gates I love it man that’s incredible well as quickly as they won you know like it’s never ever the Home Run never ever like never ever counts up until the game is over best generally so so so yeah um we are four co-founders you understand and it’s amusing because we’ve all fulfilled through initially as friends you understand and after that as co-founder so uh there’s 3 of us that work together at the exact same SAS business in in Spain so all of us joined when it was really early I signed up with as the first individual in sales and there are two people joined us that as item supervisors basically and we see the business from absolutely no to a couple of million err over 3 years and then we left um at the same time roughly I went to organization school and I went to company school on the other one went to do a stint in VC with the objective of going to company school later on so when I go to business school I I got into into Harvard and you know I was very delighted about it my entire goal was to go there to learn more about how to end up being a creator and after that hopefully release something upon graduation and the one that I landed there I was looking into already an idea with one of these co-founders and it was genuine idea it had nothing to do or extremely little to do with what we’re doing now but you know that was the beginning of the journey and the novice Journey or the Insight that we had was that hey there remain in certain verticals there are a lot of sequential payments you understand and circular payments in between companies and right now you just have to wait on that series to establish or you know like there’s nobody streamlining those circular payments so we thought of hey why don’t we do something similar to like a split wise or business in verticals such as you understand fried or Logistics or construction you know you have a lots of celebrations that need to wait for various payments like they’re all associated with one way or another so envision you have a platform and then you have company a post Business B 100 and Business B House Company c a hundred dollars in reality with this platform what would take place is a company.
a would pay a hundred the platform Business B zero they would get they would pay absolutely no or get no and then business C we get a hundred dollars so when we’re talking to large business they all liked it but it was the normal like cold start issue I resemble hey this is terrific when everybody remains in the platform but up until then it’s it’s pretty tough to get people to do anything so it was all about hey how do we get more data how can we sort of begin this platform um without using the platform to start with so it was everything about getting more data and to get more data we got to 2 conclusions it resembles we either get data through providing an Analytics tool a workflow tool or we offer a funding we have a funding and we get the data or individuals offer us information in order to get financing so you know we started doing that like exploring increasingly more and more and after that what we need what we saw is that we knew more about sales than anything else we were actually interested in fintech and specifically in financing and you know like we would take a look at different modes different verticals and so on for two weeks at a time if we discovered enough stuff we would opt for two more weeks if we didn’t would cut it and then in January 2020 we had the the idea you know which is funny of using this this SAS companies at all so they might extend terms to the clients but constantly get the cash in advance so we’re solving the funding payment possessions companies have which is they have in advance expenses to get consumers and after that they earn money months of the month right so to prevent that cash card that every SAS company deals with which we faced in the past in the previous experience the objective was to provide a tool so they might say to the consumer hi look the cost is 100
per year and if you want to pay monthly fantastic use capshase you know um and after that Founders love that they resembled hello people this is fantastic this is the Holy Grail of SAS since I need to do discounts so my ACV boosts and I can close sales faster since I’m using flexible payment terms so it resembles the Holy Grail you know you increase ACV you reduce cell cycle normally it’s like a compromise you understand and then the next thing they stated resembled hi why don’t I do this for all my consumer base instead of for every single new consumer that I get right so why don’t I do this for my 300 clients instead of doing it for the internet for the 10 new consumers I get months of a month so then we saw what they wanted was to convert their ARR or the customer base into upfront financing to be less depending on Equity as I stated the beginning yeah fine this is what we’re going to begin with and after that we’re going to find out so much so we’re gon na do the rest later on and that’s when the 4th co-founder joined who has a friend at HBS and after that male we began dealing with it like crazy and and dropped out what is your long-term Vision so it started with you know you arrived at this hate you if you’re resting on ARR we understand the company’s uh churn we understand the company’s retention gross margins Etc so I can take their ARR and lend them in advance x times times x ARR or times x mrr but what is a long-term vision of of the business so for us it’s it’s it’s or it’s all around SAS business right like we just method with such business deliberately right so we resisted the
urge to go and work with funding you know with any vertical we only deal with SAS so our objective is to develop several items for SAS so we start with funding and it’s excellent since companies really depend on us we actually like a partner and we we help them to not just get funding however work much better in a more efficient way and through that we’re finding you know chances to expand you understand in the transaction of a SAS item