Scale your business with growth capital
SaaS Capital® has been lending to SaaS companies since 2007. It’s time to put our expertise to work for you.
Nice to meet you!
Streamlined access to non-dilutive capital for qualified SaaS companies
Lending to SaaS companies is our singular focus. Our underwriting processes and our products are attuned to the needs of your business.
Work with the SaaS Capital® team and experience:
- A transparent process tailored to SaaS businesses.
- Credit facilities with more availability and fewer restrictions.
- Quick decisions for qualified businesses; current venture-backing not required.
- Access to SaaS expertise and a decade worth of research data.
Approach
SaaS Capital pioneered alternative lending to SaaS. Since 2007 we have spoken to thousands of companies, reviewed hundreds of financials, and funded 60+ companies. We can make quick decisions. The typical time from first “hello” to funding is just 5 weeks.
Product
Debt can be a powerful growth tool for SaaS companies. Properly structured, credit facilities can minimize dilution, while availability grows as the business scales. Our MRR line-of-credit offers high capital availability, few covenants, and long commitment periods.
Criteria
SaaS Capital funds “scale-up” SaaS companies with $3 million or more in ARR. Companies do not need to be profitable or venture-backed to qualify, but they do need to have a solid history of retention.
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Featured Research
Research
What's Your SaaS Company Worth?
This white paper is written for entrepreneurs, angel investors, and the management teams of SaaS businesses. The intent of the paper is to describe the approach used by most professional investors and strategic buyers to value a SaaS company. By better understanding the concepts and mechanics of valuing a SaaS business, management will be better able to articulate and maximize the value of their company, and also develop a more accurate estimate of the likely offers in a sale process or equity raise, resulting in a narrower bid-ask starting spread and higher likelihood of a successful outcome. The framework described in this paper is designed to be adaptable to the market environment well into the future.
Read MoreBlog Post
Private SaaS Company Valuations: Q1 2021 Update
The NASDAQ is down 2.8% from its February high. The SaaS Capital Index fell from 16.0x in February to 14.5x in March. This is still well above historic norms but could signal the beginning of a correction.
Research
Private SaaS Company Funding, Runway, and Capital Efficiency Benchmarking
In our 9th annual survey of private B2B SaaS companies, we asked several questions on funding sources and amounts raised to learn more about capital efficiency and cash balances to better understand runway. Runway considerations, in particular, became very relevant with the arrival of the novel Coronavirus COVID-19 and the resulting economic shutdowns. The goal of asking these new questions was to be able to answer the following...
Blog Post
Spending Benchmarks for Private B2B SaaS Companies
How much do SaaS companies spend on customer support or marketing? In day-to-day SaaS company operations, questions like the above are common. So, we asked survey takers what percentage of revenue is spent on cost of goods sold, customer support/success, selling costs, marketing costs, research & development, and general and administrative. This post summarizes the benchmarking data.
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With SaaS Capital, we’ve accelerated growth, avoided dilution, and utilized increased access to capital over time as the business has scaled. The SaaS Capital team is great to work with and strives to make it a win, win proposition.
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They are a flexible, non-dilutive option and they really understand the needs of a SaaS business. Due to their extensive reach and best practices insight from other SaaS companies, SaaS Capital also adds significant value to Updox beyond just capital.
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Their approach to financing and experience with other SaaS companies has set them apart as the premier partner for our business.
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We were fortunate to have a number of financing alternatives, but in the end, the availability of the SaaS Capital line, coupled with the ability to draw down cash only when we need it, made SaaS Capital the obvious choice.
Driving better outcomes
Success Stories
Read our case studies to learn why SaaS Capital is the “just right” partner for SaaS businesses, how growth debt positioned a company for acquisition, and how a company created $28.8 million of net equity value.
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