back Back

Novel Capital came out of stealth with $115m

By Edlyn Cardoza

March 17, 2022

  • Alternative Funding Method
  • Debt Funding
  • FinTech

Novel Capital, FinTech, Initial Equity, Debt Funding, Alternative Funding Method, Venture Capital, RevShare Capital, Upfront Capital, USANovel Capital, a FinTech company, helping businesses accelerate growth, came out of stealth today with $115 million in initial equity and debt funding. Through its online platform, Novel Capital provides an alternative funding method to entrepreneurs that is simpler and less risky than bank debt and does not require founders to give up equity or control.

Entrepreneurs seeking capital often find no realistic options for their company given the cost, time and equity dilution associated with fundraising. However, the platform allows entrepreneurs to leverage their recurring revenue in exchange for on-demand access to non-dilutive capital at the right time.

Depending on where they are at in their entrepreneurial journey, companies can partner with Novel Capital to accomplish several business goals, including:

  • Bridge Between Funding Rounds: Accelerate to milestones for a higher valuation.
  • Accelerate Growth: Immediately invest in necessary sales and marketing resources.
  • Support New Customers: Hire more staff to meet the needs of new clients.
  • Smooth Cash Flow: Ease predictable cash shortages for seasonal and / or cyclical businesses.

“Prior to co-founding Novel Capital, I was the CEO of an edtech SaaS company, and like many other entrepreneurs, my company could not attract the capital we needed to accelerate our growth despite our growing customer base and recurring revenue,” said Novel Capital CEO and Co-Founder Carlos Antequera. “This experience made me realise the need for a company like Novel Capital. We want to provide simple, fair access to on-demand capital and support, so that entrepreneurs can focus on business growth, not fundraising.”

The Company offers two revenue-based financing products which give entrepreneurs on-demand access to the type of capital that best meets their current and future business needs:

  • RevShare Capital™: Gives companies up to 30% of their expected annual revenue today, in exchange for a percentage of future monthly realised revenue for the next 36 months.
  • Upfront Capital™: Gives companies instant access to future subscription revenue for one simple upfront fee.

Entrepreneurs seeking funding submit their basic company information and connect financials and bank accounts on Novel Capital’s online platform. From there, Novel Capital will analyse key company data points to determine the appropriate amount of capital they can receive. Once a company is approved, and on the Novel Capital platform, it can access additional capital on-demand as they continue to grow and generate more revenue.

The Company believes that capital itself is not enough to drive growth, which is why the company combines capital, resources, and support in a single online platform. In addition to financial metrics, Novel Capital considers a company’s goals to ensure that they provide entrepreneurs with the appropriate capital and support to reach their full potential.

“As a former VC, I often saw entrepreneurs struggle to make difficult fundraising decisions. That’s why at Novel Capital we strive to help companies understand how to select the right type of capital for their needs,” said Keith Harrington, COO and Co-Founder, Novel Capital. “Bank debt and venture capital have their place, but the non-dilutive and low-risk nature of our capital is often what best meets the needs of growing companies that are building value for their investors.”

Previous Article

March 17, 2022

nCino announced opening new entities in Spain and France

Read More
Next Article

March 21, 2022

Banque Misr, National Bank of Egypt, and Banque Du Caire launch new FinTech fund

Read More

IBSi Daily News Analysis

payment check out, Open Banking

April 23, 2024

Alternative Funding Method

UAE retailers lose millions annually on payments fraud; consumers’ wallets impacted

Read More

IBSi FinTech Journal

  • Most trusted FinTech journal since 1991
  • Digital monthly issue
  • 60+ pages of research, analysis, interviews, opinions, and rankings
  • Global coverage
Subscribe Now

Other Related News


Egyptian FinTech bokra raises $4.6m pre-seed round

Read More

April 19, 2024

Wagestream raises $21.8m to expand financial well-being app

Read More

April 18, 2024

Alter Domus goes live on the Temenos Multifonds platform

Read More

Related Reports

Sales League Table Report 2023
Know More
Global Digital Banking Vendor & Landscape Report Q1 2024
Global Digital Banking Vendor & Landscape Report Q1 2024
Know More
Wealth Management & Private Banking Systems Report Q1 2024
Wealth Management & Private Banking Systems Report Q1 2024
Know More
IBSi Spectrum Report: Supply Chain Finance Platforms Q4 2023
Know More
Treasury & Capital Markets Systems Report Q1 2024
Know More

IBSi Sales League Table

The industry acknowledged barometer of global banking technology vendor performance!
Get your copy now!
Get your copy now! IBSi Sales League Table 2023