Investment pillar: Growth Credit
Growth Credit Financing for Scaling Technology Companies
Debt funding to support the continued growth of venture-backed businesses, with the support and resources of a highly experienced Venture Capital Firm.
What is growth credit?
How it works
Growth credit is a flexible form of debt funding tailored to high growth technology companies.
You can use it like equity to invest for growth but pay interest rather than giving up equity in your business.
Benefits
- Lower cost than equity finance
- Minimal dilution
- Avoid setting a valuation
- Retain control – no voting rights or board director
- Value add from an institutional investor
Use cases
- Growth capital with limited dilution
- Extend runway to next funding round
- Cash buffer to reach profitability
- Credit line for unforeseen spend
- Acquisition finance
- Manage working capital swings
Is it right for you?
Take the quiz to find out if credit is a viable funding option for your company.
Launch QuestionnaireLaunch Questionnaire
Who is it for?
Our approach
What we provide
- Facilities of $1 – $20M
- Funding can be funded upfront or tranched over time
- Amortising loans over 3 – 4 years; interest only periods available
- Tailored to your business and covenant light
- No Director Guarantees
- Minimal dilution via warrants – typically equating to less than 0.5% of the cap table
It’s important that you select a credit provider that’s the right fit for you and understands your business.
Products
We provide Venture Credit and Growth Credit funding, supporting founders and businesses at pivotal stages on their scaling journey.
Venture Credit v Growth Credit
Venture Credit
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Tech Company
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Series A Minimum
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$3M+ ARR
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VC Backed
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High growth
Growth Credit
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Tech Company
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Later stage (beyond Series A)
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$7M+ ARR
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VC or Institutional Backing
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High growth; Min 30% p.a.
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Lower cost with wider structuring options compared to Venture Credit
Growth Credit Portfolio Companies
Testimonials
Growth Credit Investment Team
Actively Investing
Growth Credit Fund VI
OneVentures’ newest growth credit fund follows on from the success of our earlier growth credit funds, and the growing awareness and adoption of growth credit in Australia. Like the previous funds, this fund will continue to provide a compelling risk / return profile for investors, whilst enabling founders access to capital without the need for diluting equity.
The fund is providing facilities from $1-20M, focused on rapidly growing companies based in Australia and New Zealand that are differentiated through technological innovation with strong revenue growth. In particular, OneVentures is looking for companies operating in the SaaS, fintech and marketplace spaces, who are led by exceptional founding teams and generating >$3-5M in recurring revenue.
OneVentures’ new credit fund provides a compelling risk / return profile from an asset class which is experiencing increased adoption in a growing market by a manager with unrivalled experience and proven track record.
KEY FEATURES
Actively Investing
VGF Credit Fund
In partnership with Invest Victoria, the VGF Credit Fund is a A$30M credit fund focused on providing debt financing to high growth Victorian based technology companies.
The fund was launched under the Victorian Government’s VGF programme. The fund is focused on rapidly growing companies that are differentiated through technological innovation, with strong revenue growth. The fund provides facilities of $0.5-4M to companies generating >$3M in revenue
Funds Allocated
Growth Credit Fund IV
The OneVentures Growth Credit Fund IV reached final close on 20 April 2020 raising $78M. The fund is a collaboration with Viola Credit of Israel, providing circa $120M in debt financing for high-growth technology companies predominantly in Australia and New Zealand.
The fund focused on rapidly growing companies that are differentiated through technological innovation, with strong revenue growth. In particular, OneVentures looked for companies operating in the SaaS, fintech, marketplace and e-commerce spaces, led by exceptional founding teams and generating >$3-5M in revenue.
Criteria for Entrepreneurs
To fit our mandate, your company must be:
- Domiciled in Australia or New Zealand, or with strong connections to Australia
- A high-growth technology company generating >$3-5M recurring revenue