New startup Capital wants to reintroduce founders to venture debt

That’s the question a whole slew of new financial technology companies are hoping entrepreneurs will ask themselves as they begin to think about collecting outside capital for their businesses.

Capital’s underwriting technology, dubbed The Capital Machine, determines if businesses have the growth potential necessary for an infusion of debt (by analyzing revenue and other financial considerations), then delivers term sheets within 24 hours.

For companies that are’t ready for a debt round, or who don’t meet Capital’s qualification, the company is offering access to a free calculator that determines the cost of a company’s capital based on their fundraising and valuation data.

Today, loads of equity funding is funneled into predictable business models that could be funded entirely with non-dilutive capital: “I saw what the venture process was like,” Silverberg said, referencing his stint at DFJ.

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