For asset-light companies, securing financing can be particularly challenging. Traditional banks often rely on tangible assets, such as real estate or machinery, as collateral to assess creditworthiness. However, companies in tech, SaaS, or other digital industries typically lack these physical assets, making it difficult for banks and traditional lenders to evaluate their credit risk.
This disconnect leaves many innovative businesses underserved, facing rejection from banks or being pushed toward non-transparent financing options. Additionally, preparing for the complicated demands of lenders can be time-consuming and frustrating.
And that’s why there is Threshold Capital
Threshold Capital bridges the gap for asset-light digital companies by offering a way to growth capital specifically designed to cover their unique needs. We understand the dynamics of businesses that prioritize intellectual property, recurring revenue, and scalability over physical assets. Our platform simplifies and accelerates the financing journey by:
- Our internal risk assessment: Threshold Capital evaluates your business using non-traditional metrics like Annual Recurring Revenue (ARR), customer retention, and scalability.
- Minimal input required: All we need to begin is a few commonly available financial data points—such as accounting ledger, list of account receivables/payables, bank transaction, loan ledger—often directly from your accounting software.
- Quick results: Our platform processes your information in minutes, generating a comprehensive risk assessment and a tailored financing offer to boot.
- Transparency and speed: We simplify terms and accelerate the financing process, so you can secure funds when you need them most.
- Actionable insights: Providing instant insights, Threshold Capital helps businesses to maintain financial data in optimal condition by identifying risks, inefficiencies and checking the accounting data completeness.
Story of typical Threshold Capital customer:
A SaaS company with a subscription-based model is scaling rapidly, doubling its MRR in the past 12 months. Despite their growth, they struggle to secure a loan because traditional banks don't recognize their ARR as stable collateral. Worse, their lean operational structure means they lack physical assets to pledge.
Using Threshold Capital, the company:
- Uploaded their accounting data directly exported from their accounting software in a requested format.
- Received a detailed risk assessment with actionable insights that identified weak points and provided clear steps for improvement.
- Received a tailored financing offer from Threshold Capital, designed to fit their growth needs and business model.
- Secured a financing offer within minutes, with funds available in days. All with minimal time and financial costs.
Where Threshold Capital helped:
- Relevant Key Metrics: Traditional lenders couldn’t understand their businesses, but Threshold Capital uses the right financial metrics that matters.
- Actionable Insights: As a part of the assessment process, Threshold Capital highlighted focus points to improve customer’s financial health.
- Tailored Financing Offer: Threshold Capital provided a loan solution designed for the customer’s business model, ensuring competitive terms and flexible repayment options.
- Ongoing Support: Post-financing, Threshold Capital continued to provide support in regular monitoring of the financial health during the whole financing contract.
For digital and asset-light companies, financing doesn’t have to be a roadblock. Threshold Capital transforms the process by leveraging deep insights and innovative tools to connect you with the right financing, tailored to your business model.
Whether you’re a SaaS startup, e-commerce brand, or tech innovator, Threshold Capital ensures you get the support and capital you need to grow.
Find out whether you're eligible for financing. Take our quiz and start growing today!
