|
WHAT IS
VENTURE LEASING?
Venture Leasing allows vc
backed, and startup companies an alternative way to finance the
company's equipment requirements. Startup, and vc backed
companies have traditionally financed equipment through equity
offerings to enable growth. Professionally managed venture
capital funds have been the major source of this type of funding.
Asset based equipment leasing allows venture capital investors,
and company management to conserve their equity investment,
conserve cash, and protects against unnecessary dilution. A
venture leasing transaction is similar to a standard equipment
lease in that the terms offered range from 24-60 months; the
purchase options include $1.00, and fmv residuals. One-page
application only programs are also offered. The main difference
is that warrants, and/or zero cost basis stock incentives are
usually part of a venture leasing transaction. This provides a
risk/reward incentive that a tradition bank or lending source may
not consider.
|
AGENT DIRECTORY