Re:Launch HN: 8vdX (YC W22) – Venture debt to complement a s...
by rchachra on Wednesday March 09, 2022 @06:55AM
(#30613505)
Sure, 1. Here is a link (https://docsend.com/view/gtxd9jwdgs3izb8m) to the explainer for the bridge to Demo loan.
2. All companies presenting on Demo Day are automatically qualified. Later stage companies are underwritten on a case-by-case basis by the 8vdX team.
3. Yes, we act as underwriters and originate companies that we strongly believe will be able to raise their Series A rounds.
4. Investors invest at a portfolio level for each batch therefore there is an expected failure rate built in to the return assumptions
1. You mentioned that this only a marketplace between lenders and startups. Does a startup create a kind of brochure describing their idea trying to lure in lenders (like kickstarter or other crowdfunding/lending sites)? Or does the startup just fills out a form and then you decide about the loan? In this case, how do the lenders decide if the want to give this startup money?
2. Who decides if a startup gets money?
3. What exactly is your part in this process? Do you quantify the risk, so lenders can only give money to startups in a certain risk category?
4. What happens if the startup fails? Who has lost money? You or the third-party lenders?