Capchase, a New York-based a platform for recurring-revenue companies to secure non-dilutive capital, has announced a US$125 million Series A investment, led by QED Investors.

Additional investors in the round include early backers Bling Capital, ScifiVC and Caffeinated Capital, along with several operator angels.

The new funding, which will be a mix of debt and equity, comes on the back of unprecedented growth since the firm launched just eight months ago.

As part of its growth plans, the company has announced it will also be expanding its operations in the UK and Spain.

Capchase was founded in 2020 and helps companies unlock cash that is otherwise tied up in future predictable revenue payments.

By advancing future revenues, companies can invest more into growth without depleting their cash reserves.

The new financing offered by Capchase enables tech companies to draw the right amount of funds at the right time, which is a more efficient and affordable way to fund a recurring revenue business.

Capchase also offers a proprietary programmatic funding model that is based on analytics and disperses just the financing required for growth on a monthly or weekly basis – as opposed to providing capital in one lump sum, which leads to cash sitting in a bank without generating returns.

“We built Capchase to help tech companies access the capital they need to grow faster, without selling their company bit by bit.

 

With our Series A funding, we will be able to continue improving our core products and complement them with the new features that our customers expect from us.”

noted Miguel Fernandez, co-founder and CEO of Capchase.

Featured image: Capchase Team