Revenue-based financing FinTech Lighter Capital has closed a $130m credit facility, and plans to use the capital to support early-stage companies.
The credit facility was funded by ATLAS SP Partners, i80, the Victorian Government, and iPartners, and will enable the Seattle-based company to continue funding early-stage companies, as it has done since its launch in 2010.
Since its inception, Lighter Capital has distributed $350 million in growth capital to more than 500 startups across the U.S., Canada, and Australia through more than 1,000 rounds of financing.
Lighter Capital’s revenue-based financing model helps startups that offer SaaS, technology services, subscription services, and digital media to access up to $4 million in growth capital without selling equity.
Company CEO Melissa Widner, said: “After more than a decade in business, 2022 was our best year in the company’s history, it’s a great privilege to help founders achieve their dreams on their terms by providing funding that doesn’t require selling equity or giving up control.”
Due to a decline in VC funding, companies such as Lighter Capital and other alternative financing startups are gaining traction in the FinTech space. Additionally, banks have started to tighten their lending standards because of economic uncertainty and decreased collateral values.
Keep up with all the latest FinTech news here
Copyright © 2023 FinTech Global