Intro
Startups and growth-stage companies often face a common challenge—how to fuel growth without giving up too much equity. While equity funding has long been the go-to option, it comes at the cost of dilution and often increased external control. In recent years, private debt has emerged as a powerful alternative. In this article, we dive into how portfolio companies can leverage private credit, what they need to qualify and how Bondflow is creating a smoother path to non-dilutive capital.

Why founders are looking beyond equity

Raising equity often means giving away a piece of your business. For some founders, this trade-off is acceptable—especially in the early days. But as companies scale and gain revenue traction, equity becomes expensive. Not only does it dilute ownership, but it also gives new investors a seat at the table, potentially influencing decisions that were once the founders' alone.

“Equity is permanent. Debt is temporary—and strategic.”

With increasing pressure to grow efficiently, founders are now exploring ways to fund operations without giving up more equity than necessary. This is where private credit enters the picture.

What is private credit?

Private credit refers to loans or debt investments made outside of traditional banks and public markets. These loans are typically offered by institutional investors, family offices or accredited individuals. Unlike public debt or equity, these transactions are often bespoke, negotiated directly between the issuer (your company) and the investor.

Bondflow enables this by providing a platform where pre-vetted companies can connect with investors looking for fixed-income opportunities.

Key features of private credit:

• Non-dilutive funding

  
  

• Customizable repayment schedules
  
  

• Quicker turnaround compared to banks or VCs
  
  

• Backed by assets, revenue or business strength
  
  

• Typically less regulatory red tape

How Bondflow helps founders raise private debt

At Bondblow, we simplify access to private credit for growing companies. Our platform is built to bridge the gap between companies that need capital and accredited investors who are actively seeking high-yield, lower-volatility debt opportunities.

Here’s how we do it:

1. Eligibility & strategic assessment

We start by helping founders determine if private debt is the right fit. We assess key business metrics—revenue health, growth stage, available collateral and financial discipline.

2. Deal structuring

We work with you to structure a compelling offer. Whether it's a short-term working capital loan or a multi-year facility backed by recurring revenue, we help you create investor-ready debt products.

3. Investor matching

Your offering is listed on our platform where vetted investors can explore, analyze and invest. These investors are not just interested in high returns—they value transparency, structure and business fundamentals.

4. Post-deal reporting

Bondflow provides ongoing reporting tools, notifications and performance updates so that both founders and investors stay aligned over the course of the investment.

What founders should prepare before raising debt

Unlike equity, where a strong vision might be enough, private debt investors look at business fundamentals, cash flow and repayment ability. Here’s what you should be ready with:

Detailed financial statements – Last 2–3 years (audited if possible)
Revenue projections – With realistic assumptions
Cash flow data – Focused on the ability to service debt
Use of funds – How the capital will be deployed and expected impact
Existing debt details – If any
Collateral or receivables – If applicable for asset-backed lending

“Transparency builds investor confidence. Well-prepared documentation can be the difference between approval and rejection.”

Common types of debt offered via Bondflow

We help companies raise capital in various structures, including:

Term loans

Straightforward loans with fixed interest and repayment schedules.

Revenue-based financing

Repayment is tied to a percentage of your monthly revenue, offering flexibility.

Asset-backed lending

Loans backed by assets like inventory, receivables or equipment.

Bridge financing

Short-term funding for companies on the cusp of a larger raise or milestone.

Why choose debt financing?

Still not sure if debt is right for your business? Here’s why more companies are leaning in:

Benefits of Private Credit for Founders:

• Maintain control – No need to add more names to your cap table.
  
  
  

• Speed and flexibility – Get funded faster than traditional VC rounds.
  
  
  

• Aligned interests – Investors want to see you succeed because their return depends on it.
  
  
  

• Predictable repayments – Clear terms and no surprise dilution down the line.
  
  

  “The best capital is the one that lets you grow without losing your vision.”

Is your company a good fit?

Not every business is ready for debt—but if you're showing traction, here are some signs that you could be:

• Annual recurring revenue (ARR) above $1M
  
  

• High-margin product or service
  
  

• Healthy gross margins and unit economics
  
  

• Predictable cash flows
  
  

• Assets or receivables that can be collateralized
  
  

• A clear growth plan and use-of-funds strategy

Final thoughts

Equity will always be a vital part of the startup journey. But when it comes to smart capital planning, private credit is quickly earning a seat at the table. It offers growth-stage founders a powerful tool to accelerate progress without losing control of their company.

At Bondflow, we're building the infrastructure for this new wave of capital. Whether you're a SaaS company with MRR or an eCommerce brand with inventory-backed potential, our platform helps you raise non-dilutive funding from trusted investors who value performance over hype.

👉 Ready to explore debt financing?
Apply to raise on Bondflow today and take your growth to the next level—on your own terms.