“Zebra” and “camel” instead of “unicorn”? – If your startup is already generating revenue and “healthy” growth is possible, bank financing could be helpful. Banks typically grant loans against collateral and depending on the probability of repayment. Loans from a development bank usually offer discounted interest rates and liability exemptions.
Peter Leitenmayer from LfA Förderbank Bayern provides insights and tips in this tutorial on debt financing for this type of startup:
- What is the difference between scaling ambitions? – Hyperscale vs. Seed Strapping
- What does a typical financing mix look like?
- What can be financed through loans – and what cannot?
- What advantages does a loan or development loan offer?
- What role does your primary bank (Hausbank) play, and who should I speak to first?
- How should the “case” for bank financing be prepared?
- How important is loan collateral?
- What is the benefit of risk mitigation through guarantees or liability exemptions?
- Which development loans are an option?
