Lighter Capital increases funding limit to $3m
Revenue-based small business financing start-up Lighter Capital has increased its funding limit by 50%, reports Julie Muhn at Finovate.
♫ I saw the light, I saw the light, No more darkness, no more night ♫
The Washington-based company will now provide tech start-ups with up to $3 million in working capital in exchange for 2% to 8% of their business’ future revenue. The $3 million cap is up from Lighter Capital’s previous funding limit of $2 million. Unlike with VC funding, start-ups retain full ownership of their company.
“As more and more tech entrepreneurs discover alternatives to equity-based venture funding, we realised the need for even more significant financial commitment,” BJ Lackland, CEO of Lighter Capital says. “The reality is, most banks won’t fund small, early-stage tech start-ups, and venture capitalists demand significant equity in the company. By increasing our loan amounts by 50%, we can ensure burgeoning tech start-ups can rapidly expand and get ahead of competition.”
Founded in 2010, Lighter Capital has funded more than 270 early stage tech start-ups in 450 funding installments totaling $125 million.
The company today announced it has provided an additional $555,000 in funding to proptech company ListReports. Thanks to the more than $2 million in total financing from Lighter Capital, ListReports has increased its revenue by 11x since Lighter Capital first began investing in it in 2016.
Regarding the round, Lackland says: “Since day one, ListReports has been on an upward trajectory, showing continuous growth, while building out a sustainable business model. We’ll happily provide them with the financing they need to become a dominant force in the real estate technology market.”
Last month, the company launched a new Client Perks Programme and a few weeks back appointed Anthea Louie as chief marketing officer.
