It can be challenging to select the funding model … Saas Companies Financing Needs To Be Cash Flow Positive .
Get up to a year of upfront capital immediately, providing you the flexible financing you require to grow your service and scale. We supply the necessary funding you require at that minute. Within 24 hours, we assess the funding needed and deposit it instantly to your account.
Capchase deals with these users and company types: Mid Size Organization, Small Company, Business, Freelance, Nonprofit, and Federal government.
what’s better owning 100 of a 10 million
company or 15 of a 100 million dollar
company the response how about the best of
you’re right with traditional financing
that’s not truly an alternative until now
keep your 100 with cap chase we utilize information
to make financing faster fairer and more
flexible based upon your future
foreseeable revenue and then we wrap it
all up with a single transparent cost
Let’s get this celebration started at
There is constantly a moment when a start-up’s founders, senior management team, and top finance executives examine methods for how to scale the business to the next level and catalog what’s required to do that effectively. Protecting funding at an early stage can speed up growth and result in achievable and quantifiable success. Ultimately, finance supervisors and the strategic preparation team have to choose the right funding source to assist the business reach its goals.
that management sets for the organization. Weighing the dangers and competitive threats in a intelligent and balanced method is important as it can decide the future of your company The implications of offering equity, handling irregular capital, rates of interest movements, and the need to make prompt payments to lending institutions are amongst the elements to consider, just among others.
That stated, with the increase of new and more sophisticated financing choices that put business interests of start-ups and midsize companies initially, there’s normally a method to determine an option that’s a good fit. It is very important to examine the different funding alternatives that are available to a business’s creators, management accountants, and financing officers and what considerations they need to make for both the long and short term.
Lobo here co-founder at traction and boast AI delighted to host Miguel Fernandez co-founder and CEO of capchase a provider of non-dilutive growth capital for repeating Revenue companies generally helping companies grow without giving up that precious Equity you took so long to construct Miguel welcome to traction thank you so much for joining us Hey Lloyd thank you a lot for having me it’s fantastic to be here yeah I’m really excited to share more amazing I’m delighted to enter into your backstory so let’s kick this off how did you come together with your Creators why cap Chase what else did you think about from what I understood you’re a very first time founder first time founder it resembles you struck a home run out of the park out of the gates I like it man that’s remarkable well as quickly as they won you know like it’s never the Crowning achievement never ever like never ever counts till the game is over best essentially so so so yeah um we are four co-founders you understand and it’s funny due to the fact that we have actually all fulfilled through first as friends you know and after that as co-founder so uh there’s 3 people that work together at the same SAS business in in Spain so all of us signed up with when it was really early I joined as the very first person in sales and there are 2 individuals joined us that as product supervisors basically and we see the company from no to a few million err over 3 years and then we left um at the same time approximately I went to company school and I went to business school on the other one went to do a stint in VC with the goal of going to service school afterwards so when I go to business school I I entered into Harvard and you understand I was really thrilled about it my entire goal was to go there to read more about how to end up being a founder and after that hopefully launch something upon graduation and the one that I landed there I was investigating currently a concept with among these co-founders and it was genuine concept it had absolutely nothing to do or very little to do with what we’re doing now however you know that was the start of the novice and the journey Journey or the Insight that we had was that hey there are in certain verticals there are a lot of consecutive payments you know and circular payments in between business and right now you simply have to wait on that sequence to establish or you know like there’s no one streamlining those circular payments so we thought about hello why don’t we do something comparable to like a split wise or companies in verticals such as you understand fried or Logistics or building you understand you have a ton of parties that have to await different payments like they’re all involved in one way or another so imagine you have a platform and then you have company a post Business B 100 and Business B House Business c a hundred dollars in reality with this platform what would happen is a business.
a would pay a hundred the platform Company B no they would get they would pay no or receive no and then business C we get a hundred dollars so when we’re talking with big companies they all enjoyed it but it was the normal like cold start problem I’m like hey this is great when everyone remains in the platform however up until then it’s it’s quite tough to get individuals to do anything so it was all about hey how do we get more information how can we kind of kick start this platform um without utilizing the platform to start with so it was everything about getting more information and to get more information we got to 2 conclusions it’s like we either get data through using an Analytics tool a workflow tool or we offer a financing we have a financing and we get the individuals or information provide us data in order to get funding so you understand we started doing that like checking out increasingly more and more and after that what we require what we saw is that we knew more about sales than anything else we were actually thinking about fintech and specifically in funding and you understand like we would take a look at different modes different verticals and so on for two weeks at a time if we found enough things we would choose two more weeks if we didn’t would suffice and after that in January 2020 we had the the concept you know which is funny of offering this this SAS companies at all so they could extend terms to the consumers but constantly get the money in advance so we’re fixing the funding payment possessions companies have which is they have upfront costs to get customers and after that they get paid months of the month right so to avoid that money card that every SAS business faces which we dealt with in the past in the previous experience the goal was to provide a tool so they might say to the consumer hi look the price is 100
each year and if you want to pay monthly great usage capshase you know um and then Founders love that they were like hello men this is fantastic this is the Holy Grail of SAS because I have to do discount rates so my ACV increases and I can close sales faster due to the fact that I’m using versatile payment terms so it’s like the Holy Grail you know you increase ACV you decrease cell cycle normally it resembles a compromise you understand and then the next thing they said was like hey why don’t I do this for all my consumer base instead of for every single brand-new client that I solve so why do not I do this for my 300 consumers instead of doing it for the web for the 10 brand-new customers I get months of a month so then we saw what they desired was to convert their ARR or the customer base into in advance funding to be less based on Equity as I stated the beginning yeah alright this is what we’re going to begin with and then we’re going to learn so much so we’re gon na do the rest later on which’s when the 4th co-founder joined who has a pal at HBS and then guy we began dealing with it like crazy and and dropped out what is your long-term Vision so it began with you understand you landed on this hate you if you’re sitting on ARR we understand the business’s uh churn we understand the business’s retention gross margins And so on so I can take their ARR and provide them up front x times times x ARR or times x mrr however 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 way with such companies intentionally right so we resisted the
urge to work and go with funding you understand with any vertical we only deal with SAS so our goal is to develop multiple items for SAS so we begin with financing and it’s excellent because business truly count on us we truly like a partner and we we help them to not just get financing however work better in a more effective way and through that we’re discovering you know opportunities to broaden you understand in the transaction of a SAS product