CHANDLER, Ariz.--(BUSINESS WIRE)--Leading venture debt provider Trinity Capital Investment (Trinity) today published the white paper, “Smart Financing: The Value of Venture Debt Explained.” The paper articulates the value of venture debt to startup companies and their venture capital investors in a unique way.
“It is important for startup companies to understand all of the financial solutions available to them. When properly structured, venture debt is an incredibly effective source of financing that complements venture capital and provides significant value to both common and preferred shareholders,” said David Erhart, a partner at Trinity Capital Investment. “We hope this paper educates entrepreneurs and their advisors and revolutionizes their view of debt capital as a meaningful part of their overall capitalization plans.”
Co-authored by Trinity associates Alex Erhart, David Erhart, and Vibhor Garg, the paper utilizes complex mathematical models to create a series of examples that clearly demonstrate the ideal situations and timing for debt financing. The paper concludes with quantifying venture debt’s most compelling benefit by calculating the percentage of ownership saved for both entrepreneurs and investors by combining venture debt with venture capital.
About Trinity Capital Investment
Trinity Capital Investment (Trinity) is a venture lender and valued partner to fast-growing companies across multiple stages and sectors. Since 2008, Trinity has worked closely with leading venture capital firms and their respective portfolio companies to offer valuable support, enhanced flexibility and competitive venture debt financing solutions to customers with distinctive needs. Providing senior and subordinated venture loans and equipment lease financing solutions, Trinity Capital Investment is the partner of choice for venture-backed entrepreneurial companies wanting an experienced financial partner to strengthen their financial position while preserving equity. For more information, please visit www.trincapinvestment.com or www.youtube.com/c/trinitycapitalinvestment.