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SG Credit Partners Provides $2.2 Million SaaS Loan
January 12, 2021
Source: SG Credit Partners
The Company: Digital signage SaaS platform enabling SMB & enterprise customers to easily create and manage content in real time on any number of displays, anywhere in the world. Ownership: Founders & Management. Run Rate ARR: $3mm+.
The Financing Situation: The Company had been bootstrapped with founders’ capital to date and was seeking a non-dilutive capital solution to (i) continue to grow ARR and in turn enterprise value prior to an institutional equity raise and (ii) bridge to profitability.
The Solution: SG was able to get comfortable with the Company’s earlier stage revenue due to the Company’s proven technology with enterprise clients, strong SaaS metrics, and the founders’ successful track record and continued support of the business. SG provided a $2.2mm senior secured facility with an interest-only period until the Company reaches profitability.
SG Credit Partners is a national lender providing $1 - $10 million of situational capital to lower middle market businesses. Our deals are structured as a term loan (1st lien, 2nd lien, split lien, and unitranche structures; 6-36 month term) and range from interest-only to amortizing depending on credit profile and deal structure. What makes our platform unique is our ability to structure deals around a broad set of borrower types, use of proceeds, and situations – we can underwrite a deal solely based on cash flow, collateral, enterprise value, a strong/secured guaranty, or a combination thereof. Our borrowers generally fit one of the following credit profiles – cash flow, collateral, technology (recurring revenue/SaaS), or high net worth guarantor.
Headquartered in Southern California with offices throughout the country, SG Credit Partners has provided in excess of $300 million to 150+ borrowers across a variety of industries. We pride ourselves on flexibility, speed and certainty to close as well as providing creatively structured solutions that do not require equity and have minimal covenants. For more information, visit www.sgcreditpartners.com.
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