Silvr takes over financing provider Uplift1

Uplift1 lends up to half EUR 500,000 to high-growth startups, which they pay back from their sales. Silver has not given any details, including the purchase price. In 2022, Silvr closed a round of financing of around EUR 18 million and received a credit line of EUR 112 million. Now it aims to expand to Germany, where the company currently has 7 employees, as reported by Finance Forward. According to Silvr’s own statements, it has financed growth companies in Europe with EUR 100 million.

What is revenue-based financing?

Revenue-based financing is a form of financing in which lenders receive a portion of revenue for a specified period of time, up to a specified value. The corresponding startups do not have to be profitable, but it is important that they are already generating sales. The advantage of lending in this way is that founders do not have to hand over any company shares to venture capitalists. Young companies who go for this offer would normally not receive a traditional bank loan.

Silvr takes over financing provider Uplift1

How Uplift1 works

Uplift1 customers can receive up to 3 times their monthly revenue as growth funding, which they can decide how to spend. There is an initial payment-free period after Uplift1 provides customers with the capital. After this, Uplift1 receives a monthly revenue share in exchange for their capital for 10-12 months after the financing. If customers’ revenue increases, the financing company also receives back more than they invested. After the revenue share period ends, there are no more payments due to Uo. The company never takes equity, personal guarantees, collateral, or board seats. With Uplift1, due diligence takes weeks and normally, the company can send customers their funds in less than 2 weeks. This process can be repeated on a recurring basis even before the first tranche is paid back.

Silvr’s offers

Silvr aims to provide users with easy access to growth capital to scale their business. Customers should be able to accelerate their cash flow with immediate on-demand funding. They are also allowed to keep ownership and control of their business capital through non-dilutive funding, meaning that Silvr offers users to get funded without giving up control of their company. Similarly to Uplift1, Silvr uses revenue-based payments, meaning that users receive a financing offer based on their future revenue, which the must only pay back when they generate sales.