Show HN: Founderpath – Raise $10k-$1m in 72 hours, free revenue analytics
Hey HN!
We're launching Founderpath today to help saas founders raise cash without diluting their company
Instead of a merchant cash advance needing to be paid back within 6-12 months, our standard deal is 15% interest, 4 year payback, $200k check
We get no equity, no warrants, no weird covenants, and don't require personal guarantees
This cash is way cheaper than if you were to raise from a VC (normally diluting your equity pool by 20%+ and losing a lot of control via a board seat and veto powers)
We're around all day today showing demos & answering questions over at https://www.producthunt.com/posts/founderpath
Hope to see you there! Nice idea. I gave it a spin for https://VisualSitemaps.com and after submitting our Stripe data, it showed this page which should REALLY use some love: https://share.getcloudapp.com/9ZuXWPl5 This page is a golden opportunity to perhaps: - showcase current case-studies
- show more info graphics about your process
- show videos from the founders
- or just a random far-side cartoon. Now it's just a dead looking page w/ a broken image. Strange.. I asked for that $200k, and the computer offered me ... a whopping 13k @ 17% /3yrs. I'm guessing it doesn't just look beyond the #s..yet ;-) Is this a lemon market? If I’m sure I’ll use my $200k wisely I’ll self select out and get a second mortgage for 3% or whatever. Leaving the riskier people to come to you? Clicking connect with "Quickbooks" results in a "500 - Server Error" fyi. But, interesting model. How does this deal compare with getting a loan from a bank (e.g. SVB)? 15% is not a terrible rate. If you look at companies like OnDeck[0] they start at 11% and don't lend to SaaS companies. There are also companies that already do this like "saas-capital"[1] which start at 12%. SVB won't lend until you're > $1M ARR. This just slightly above the market rate for a lower MRR SaaS company. 0 - https://www.ondeck.com/resources/top-10-faqs
1 - https://www.saas-capital.com/our-approach i've sent founders to all those firms (list of 50+ debt providers and their cost here: https://docs.google.com/spreadsheets/d/17M_zgfNG20Z-cqQ6SqxQ... SaaS Capital: Won't touch you unless you have $3m in ARR. Yes they can get down to 12% but they also take warrants. We'll start at $250k in ARR, and take no warrants. SVB: Banks will only lend to software companies if they have VC backing. (yes they lend at cheaper rates) OnDeck and Kabbage/others are at 25%+ interest rates. Read the terms. working on this now, good catch. site is getting slightly overwhelmed. in terms of SVB, banks are a great option if you've raised VC. they can usually give you debt at 5-6% interest rates and 0.1-.5% warrant coverage but will only do a deal with you if you are "sponsored" (meaning you've raised VC). we're a much better fit for bootstrappers why do you think the vc have not thought of that? also, why do this over like the shl micro angel? VCs are in a different business with a different model. VC is always great for the VC, not always so much for the founder. So this is a great alternative yeah agree. there will always be big need for VC capital to fund big billion dollar ideas. we're focused more on helping folks that want to bootstrap a $5-10m business and don't want to give up equity.