Revenue Based Financing India
At flow capital we can fund up to 5 million through revenue based financing if the company qualifies based on its annual revenue or annual recurring revenue level.
Revenue based financing india. A company secures a loan from a lender like conscious growth for a specific purpose usually marketing and advertising costs. Revenue based financing rbf is an alternative investment model wherein a company raises capital from an investor based on a data driven projection of its future revenues. Revenue based financing is the best of both worlds where founders get large funding amounts while retaining ownership. Revenue based financing sometimes known as royalty based financing was used by oil investors in the early 20th century to finance oil and natural gas exploration and later by the pharmaceutical industry hollywood and energy companies.
But essentially it works like this. There are different ways to access revenue based financing and you can use it for different reasons and in different ways. In wielding these instruments for raising revenue. Revenue based financing which helps tech entrepreneurs get to the next level without giving up equity board seats or personal guarantees at lighter capital we don t take equity or ask.
Kotak bank 1 587 65 170 75. Investors began applying it to early stage companies in the 1980s. Featured funds nippon india liquid fund direct growth. Nse gainer large cap.
For cash strapped urban local bodies in india the revenue potential that land based financing offers could result in it being used recklessly. A consistent high monthly recurring revenue mrr along with high gross margins combine to qualify a business for a royalty based loan.