What We Do

Custom debt solutions for the pivotal stages of a company’s growth.

We do growth debt

When a high-growth tech company is looking to raise capital through debt, the solution is commonly called “venture debt,” a catch-all phrase to describe lending to private tech companies.

 

Although what we do can be called venture debt, we expand the meaning to something bigger – growth debt. This isn’t semantics or clever word play. The goal of financing is growth. It’s what our partners seek in their businesses and how we construct our solutions to help them get there.


Growth debt and venture debt offer similar benefits, providing lower cost capital and minimizing equity dilution to scale an offering, invest in product, marketing, and sales, enter new geographies, or cushion against unforeseen needs.

But major distinctions exist in when, how and in what form it’s offered. 

Venture Debt
Growth Debt
Company Stage
Pre-revenue, Seed through Series B
All stages of growth post-revenue
Underwriting Criteria
An ownership predicated lens, often focused on venture capital investor syndicate
A company-centric lens, crafted around company credit profile, asset value, and progress to profitability
Equity Ownership Requirements
Validated by familiar VC-backers
Unbiased and open to all backing: VC, PE, sponsored, family office, or bootstrapped
Timing
Typically raised in conjunction with an equity round
Tailored in coordination with strategic priorities
Use Case
Capital is often used to extend runway during earlier high cash burn stages
Capital is often used to accelerate the path to profitability or finance specific assets at pivotal stages of growth
Structure
Term loans and royalty loans
Term loans, royalty loans, lines of credit, and asset-backed lending / warehouse facilities
Covenants
Can have minimal covenants, offered with lighter touch support, which can lead to loans not in sync with outcomes
Uses covenants ensuring debt is appropriately sized as a natural, achievable governance tool

Who Growth Debt Is For

We partner with innovative companies at an inflection point in their business, who are seeking flexible and customized financing, matched to their trajectory and operational needs.

Venture Debt

Pre-revenue, Seed through Series B

Growth Debt

All stages of growth post-revenue

Venture Debt

An ownership predicated lens, often focused on venture capital investor syndicate

Growth Debt

A company-centric lens, crafted around company credit profile, asset value, and progress to profitability

Venture Debt

Validated by familiar VC-backers

Growth Debt

Unbiased and open to all backing: VC, PE, sponsored, family office, or bootstrapped

Venture Debt

Typically raised in conjunction with an equity round

Growth Debt

Tailored in coordination with strategic priorities

Venture Debt

Capital is often used to extend runway during earlier high cash burn stages

Growth Debt

Capital is often used to accelerate the path to profitability or finance specific assets at pivotal stages of growth

Venture Debt

Term loans and royalty loans

Growth Debt

Term loans, royalty loans, lines of credit, and account-based lending / warehouse facilities

Venture Debt

Can have minimal covenants, offered with lighter touch support, which can lead loans not in sync with outcomes



Growth Debt

Uses covenants ensuring debt is appropriately sized as a natural, achievable governance tool

Investment Criteria

We offer fully customized debt capital solutions for high growth technology-based companies:

  • Revenue: $5-150MM or Asset Portfolios of $5MM+
  • Loans: $1-50MM
  • Debt Structure: Term Loans, Asset-Backed Warehouse Facilities, Lines of Credit, Royalty or Revenue Based Financing

PFG Transaction Requirements:

  • Security in all assets (senior or subordinate)
  • Equity participation (stock warrants/conversion)
  • Financial covenants

We work across Tech-Enabled industries

Software

SAAS, cloud, mobile, B2B, cybersecurity, and data platforms

Fintech

Consumer payments and lending strategies, corporate/enterprise lending, property/real estate tech, and auto/fleet, mobility financing

Healthcare

Medical devices, healthcare services, biotech, and healthcare technology

Infrastructure

Supply chain, data sharing, communications, computing services, and payment platforms

Hardware

Telecom, connectivity services, energy management, renewables, and innovative manufacturing equipment

Consumer

E-commerce and retail technology, travel and hospitality, media and gaming

Specialty finance & fintech

Structured and Asset-Backed Lending

Not all tech companies follow the same growth playbook.  Different models require different financing solutions.

 

Fintech companies benefit from a specialty debt solution referred to as asset-backed lending, a capital structure solution designed to accelerate their growth.
 

PFG has extensive experience in asset-backed lending. PFG works with companies to create structured facilities to finance specific pools of receivables or assets, enabling specialty finance and fintech originators to achieve scale.  


We are no stranger to global complexities – PFG has deployed warehouse funding across multiple currencies, asset classes, and jurisdictions

PFG structures warehouse funding for companies operating across a broad spectrum, including but not limited to:

Consumer

Buy-Now, Pay-Later Finance & E-Commerce Enablement Lending
Micro & Consumer Loans
Payroll and Pension Finance

Corporate / Enterprise

Small and Medium Enterprise Corporate Loans
Digital Credit Cards
Vendor Supply Chain Finance

Proptech

Mortgage Fintech
iBuyer
Real Estate Marketplaces

Other Assets

Micro-Mobility Platforms
Auto / Fleet Financing
eLogistics Receivables Funding

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30+ Year Global Strategic Partner

SVB is a leading American bank providing products, services and strategic advice for businesses at every stage. They operate as a go-to commercial bank for start-ups and established corporations, offering venture funding, private banking & wealth advising. SVB is the largest lender to technology companies globally.

SVB has built its reputation as the financial partner of the innovation economy – helping individuals, investors and the world’s most innovative companies achieve extraordinary outcomes.
PFG and SVB have maintained an official strategic partnership since the late 1980’s. We have collaborated together as co-lenders and extended each other's ability to reach new markets and provide deeper capital to high-growth companies.

PFG and SVB have provided growth debt across the U.S. & Canada, Europe, Middle East, Asia, and Latin America, where we co-manage a Venture Debt Latin America Growth Lending Fund.

IFC logo

IFC — a member of the World Bank Group — is the largest global development institution focused on the private sector in emerging markets. IFC works in more than 100 countries, using its capital, expertise, and influence to create markets and opportunities in developing countries, leveraging the power of the private sector to end extreme poverty and boost shared prosperity.

PFG and IFC are strategic partners where we extend IFC’s direct venture and VC funding, collaborating on fintech and tech lending across global growth markets.

10+ Year Global Strategic Partner

Aims to be the partner of choice for the private sector in Latin America and the Caribbean. They finance projects to advance clean energy, modernize agriculture, strengthen transportation systems and expand access to financing.

IDB Invest, a member of the IDB Group, is a multilateral development bank committed to promoting the economic development of its member countries in Latin America and the Caribbean through the private sector. IDB Invest finances sustainable companies and projects to achieve financial results and maximize economic, social, and environmental development in the region. With a portfolio of $16.3 billion in asset management and 347 clients in 25 countries, IDB Invest provides innovative financial solutions and advisory services that meet the needs of its clients in a variety of industries.

PFG leads a joint venture with IDB Invest that provides debt capital to emerging innovative tech companies across the region via our Latin America Growth Lending Fund. The initiative brings investment expertise into LAC from top notch global players in this field.