It can be challenging to select the funding model … Siliconvalley Bank .
Receive up to a year of upfront capital instantly, giving you the flexible financing you need to grow your organization and scale. We supply the required funding you require at that minute. Within 24 hours, we examine the funding required and deposit it immediately to your account.
Capchase deals with these users and organization types: Mid Size Business, Small Business, Business, Freelance, Nonprofit, and Government.
what’s better owning 100 of a 10 million
business or 15 of a 100 million dollar
company the response how about the very best of
you’re right with traditional funding
that’s not really a choice until now
keep your 100 with cap chase we use data
to make funding much faster fairer and more
versatile based upon your future
predictable profits and after that we wrap it
all up with a single transparent charge
so let’s get this party started at
There is constantly a time when a start-up’s creators, senior management team, and top finance executives examine methods for how to scale the company to the next level and catalog what’s required to do that successfully. Securing funding at an early stage can speed up development and result in attainable and quantifiable success. Eventually, finance supervisors and the strategic planning group have to choose the right financing source to help the business reach its goals.
that management sets for the organization. Weighing the dangers and competitive dangers in a smart and balanced way is essential as it can choose the future of your business The implications of selling equity, handling inconsistent cash flow, rate of interest movements, and the need to make timely payments to lenders are amongst the aspects to consider, just to name a few.
That said, with the rise of new and more advanced financing options that put business interests of start-ups and midsize companies initially, there’s usually a method to determine a solution that’s an excellent fit. It is essential to examine the different funding alternatives that are available to a business’s founders, management accountants, and financing officers and what considerations they need to produce both the brief and long term.
Lobo here co-founder at traction and boast AI excited to host Miguel Fernandez co-founder and CEO of capchase a provider of non-dilutive growth capital for recurring Profits companies generally helping business grow without quiting that valuable Equity you took so long to develop Miguel welcome to traction thank you so much for joining us Hey Lloyd thank you so much for having me it’s great to be here yeah I’m very delighted 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 first time creator very first time founder it resembles you struck a home run out of the park out of evictions I enjoy it man that’s amazing well as soon as they won you understand like it’s never the Home Run never like never ever counts till the video game is over right generally so so so yeah um we are 4 co-founders you understand and it’s amusing because we’ve all fulfilled through first as buddies you know and then as co-founder so uh there’s three people that interact at the exact same SAS company in in Spain so we all joined when it was extremely early I joined as the first individual in sales and there are two people joined us that as item supervisors essentially and we see the company from absolutely no to a few million err over three years and then we left um at the same time approximately I went to service school and I went to business school on the other one went to do a stint in VC with the goal of going to organization school later on so when I go to organization school I I got into into Harvard and you know I was extremely excited about it my whole objective was to go there to learn more about how to become a creator and after that hopefully launch something upon graduation and the one that I landed there I was looking into already a concept with one of these co-founders and it was authentic idea it had absolutely nothing to do or extremely little to do with what we’re doing now but you understand that was the start of the journey and the beginner Journey or the Insight that we had was that hey there are in certain verticals there are a lot of sequential payments you know and circular payments between companies and today you simply have to wait for that sequence to develop or you understand like there’s nobody streamlining those circular payments so we thought of hi why don’t we do something comparable to like a split smart or companies in verticals such as you understand fried or Logistics or building you know you have a ton of parties that have to await different payments like they’re all associated with one way or another so picture you have a platform and after that you have company a post Company B 100 and Company B Home Company c a hundred dollars in reality with this platform what would occur is a business.
a would pay a hundred the platform Company B no they would get they would pay zero or receive zero and after that business C we get a hundred dollars so when we’re talking with big companies they all enjoyed it however it was the normal like cold start issue I resemble hey this is excellent when everybody remains in the platform however up until then it’s it’s quite difficult to get individuals to do anything so it was all about hey how do we get more information how can we sort of kick start this platform um without using the platform to start with so it was all about getting more data and to get more data we got to 2 conclusions it’s like we either get information through providing an Analytics tool a workflow tool or we offer a funding we have a funding and we get the people or data provide us data in order to get funding so you know we began doing that like exploring increasingly more and more and after that what we require what we saw is that we understood more about sales than anything else we were really interested in fintech and particularly in financing and you know like we would take a look at various modes various verticals and so on for two weeks at a time if we found enough things we would choose 2 more weeks if we didn’t would suffice and after that in January 2020 we had the the concept you understand which is funny of using this this SAS companies at all so they could extend terms to the consumers but always get the money in advance so we’re solving the funding payment assets business have which is they have in advance expenses to obtain customers and after that they get paid months of the month right so to avoid that money card that every SAS company deals with which we dealt with in the past in the previous experience the goal was to give them a tool so they could state to the consumer hello look the rate is 100
each year and if you wish to pay regular monthly fantastic use capshase you know um and then Founders love that they resembled hey people this is amazing this is the Holy Grail of SAS since I have to do discounts so my ACV boosts and I can close sales faster due to the fact that I’m offering flexible payment terms so it resembles the Holy Grail you know you increase ACV you decrease cell cycle usually it’s like a compromise you understand and then the next thing they said resembled hello why don’t I do this for all my client base instead of for every new client that I get right so why do not I do this for my 300 consumers instead of doing it for the net for the 10 new clients I get months of a month so then we saw what they desired was to convert their ARR or the customer base into upfront financing to be less depending on Equity as I stated the starting yeah alright this is what we’re going to begin with and after that we’re going to discover so much so we’re gon na do the rest later on which’s when the fourth co-founder joined who has a buddy at HBS and after that guy we started 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 resting on ARR we understand the company’s uh churn we know 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 however what is a long-lasting vision of of the company so for us it’s it’s it’s or it’s all around SAS business right like we just method with such business intentionally right so we resisted the
desire to work and go with financing you understand with any vertical we only work with SAS so our goal is to develop numerous items for SAS so we start with financing and it’s terrific since business really count on us we actually like a partner and we we help them to not simply get funding however work better in a more effective way and through that we’re discovering you know chances to expand you understand in the deal of a SAS product