Toronto — July 24, 2018 — Espresso Capital, Canada’s most-active venture debt firm, has launched a first-of-its-kind lending program for SaaS companies seeking to raise their Series A or B financing or supplement their existing debt financing arrangements.
Unique in Canada, the new SaaS lending program will provide top-performing SaaS companies with up to twenty-four times monthly-recurring revenue in growth financing. Offering loans up to $10 million, the new lending program raises the bar for non-equity funding options for SaaS companies.
“With this new lending program we want to offer a truly differentiated funding alternative for fast-growing SaaS companies,” said Espresso CEO Alkarim Jivraj.
The new 24x MRR lending program leverages the insights Espresso has gained over the past five years providing loans to fast growing SaaS companies. Specifically, Espresso has identified an opportunity to better serve top-performing companies with a lending solution that better matches their value creation trajectory.
Espresso is Canada’s leading venture debt provider, with more than 230 companies funded since 2009. The company was ranked most-active venture debt firm in 2017 by the Canadian Venture Capital and Private Equity Association.
“Venture debt offers a great value proposition for both founders and their investors” said Will Hutchins, Espresso Managing Director. “Companies that use venture debt as a core part of their financing strategy can materially reduce dilution and their founders retain majority control longer.”