Flexible Capital Fit for Your Growth
Novel provides on-demand revenue-based financing and resources tailored to your predictable revenue and your journey, without the drawbacks of traditional options that require collateral, personal guarantees, warrants or hypergrowth.
More than capital. Your growth partner.
We have been in the trenches as founders and investors. We believe that no company should be left behind simply because they don’t have the network to raise funds, the understanding of the capital alternatives that make sense for their business, or the experience to best leverage capital.
That’s why we launched Novel Capital—a complete online platform to provide growing software entrepreneurs with the capital and digital resources to fuel their business growth.
We're a great fit if you're a B2B software company seeking:
A capital bridge between equity rounds
Funds to hire staff ahead of upcoming customer implementations
Cashflow smoothing (seasonal/cyclical businesses)
Faster growth with marketing and sales resources now
We work with software companies with both recurring and mixed-revenue streams. Whether you’re looking for your first capital partner to expand your resources and keep the growth momentum going, or a venture-backed company looking for your next bridge round, we would love to speak to you.
How do I get funded?
Once you are approved, you can get capital on-demand as you grow through Novel’s Revenue Growth Platform. Beyond capital, you’ll also gain access to on-demand digital content covering best practices and operational support, with data and insights to keep your momentum.
Apply & Sync your accounts
Apply to access our platform and once approved, sync your accounting systems to find out how much capital you can get.
Get funded with up to 30% of your yearly revenue
Get a funding decision within 5 days and cash in your bank account in less than 30 days.
Grow your company
Leverage sales best practices and resources to fuel your business growth with our platform.
How do I get funded?
Simply contact us, complete an application, and we can get started. Once approved to join the Novel Capital platform, you can get capital on-demand, whenever you need it. Did we mention we also provide operational help and tactical sales support?
Sync your accounts and contracts
Contact us, let’s identify your growth goals. Then apply to access our platform and simply sync/upload your accounting and recurring contracts to trade for capital.
Receive your future revenue
Get up to 30% of your yearly revenue in your bank account in less than 30 days.
Grow your company
Let us suggest sales best practices and resources to fuel your business growth.
Founders love what we do.
Why B2B companies choose Novel Capital
- Funding options built with you, the Entrepreneur, in mind
- Fixed or variable monthly payments based on your revenue
- Flexible repayment timelines to support your company’s goals
- Data & insights into your business’ performance
- Curated resources and support to execute your growth plans
Partner for the Long-Term
More than just completing transactions, Novel Capital builds long-term relationships with entrepreneurs. Whether you’re a bootstrapped company looking for your first capital growth partner or a venture-backed company looking for your next bridge round, we’ll grow alongside you on your journey. Get guidance from a team that’s walked both sides of the business to navigate the nuances of complex capital decisions.
Keep What You've Built
No equity or warrants. Increase your company’s value while retaining your equity. By giving you access to fair capital options to capitalize on your momentum without diluting your business, we free you of constraints and artificial growth expectations to focus on sustainable revenue growth.
Get Capital Without Losing Momentum
The time you spend trying to prove your value could be saved with a partner who recognizes the value of your proven results. You don’t have 6 months to just fundraise. Get your capital in less than 30 days, and additional on-demand capital to grow with you.
Straightforward from Start to Finish
Companies with predictable revenue shouldn’t be faced with an unpredictable process when seeking funding. Our process replaces unwanted surprises with streamlined simplicity. By setting honest expectations, timelines and milestones upfront, we can put gotcha-free capital into entrepreneurs’ hands more efficiently.
Frequently Asked Questions
Revenue-based financing (RBF), sometimes referred to as royalty-based financing, is non-dilutive capital funding provided based on a company’s monthly recurring revenue. With RBF, investors give a lump sum of capital in exchange for a fixed percentage of monthly revenue. Capital is returned to investors by paying the monthly royalty up to a predetermined return cap.
Our revenue-based financing is designed for software companies with the following financial characteristics:
- Minimum $500k revenue + targeting profitability
- 30%+ YoY revenue growth
- Predictable revenue
One of the advantages of RBF is that it is very flexible and useful across many stages of a company. On top of these financial characteristics, you can be a great fit for RBF whether you’re a bootstrapped company, have prior angel or VC investment, are looking for a bridge round, or are working to wrap up your current fundraise. At Novel Capital, we work with founders who value operational help and are seeking capital targeted to accelerate revenue growth, rather than R&D.
We can generally provide capital up to 30% of the value of your annual revenue. We invest anywhere between $100k to $1M in an initial check and can provide up to $5M to fuel your growth.
Our process is transparent and simple; there are no personal guarantees, covenants or warrants required. Unlike venture debt, we don’t require the companies we invest in to be venture-backed. You can continue to get capital on-demand as you continue to grow.
We also understand that you may have other investors that have provided you capital. We will not take over your company or its IP, if things don’t go well.
While companies that have MRR and ARR fit our model well, it is not a requirement to our financing. We work well with companies that have recurring and one-time revenues.
We know you have better things to do than spend months fundraising. From an introductory call to wiring of funds, our process takes less than 30 days.
Capitalize on Your Momentum.
Your business now has a partner in growth. Find out how our platform empowers Founders like you with capital, curated learning resources, and data-driven insights.