FAQ

Every question you ever wanted to ask.

About Logicap


What is Logicap?
Logicap represents the logic way to do start up financing in a digitalized future. We believe that financing startups should not require a lot of effort or giving up control.
Is Logicap an alternative to equity funding?
Indeed, we are! Even more, compared to other early-stage financing options, our debt financing comes with lower cost of capital for you.
What types of companies are you looking for?
We usually seek to finance tech-oriented growth companies with a sales record of several months and a positive gross margin. However, we encourage you to apply even if you do not match these criteria if you can prove your growth potential through other dimensions.

What is Revenue-Based Financing


What`s new about revenue-based financing?
RBF is quite common but widely accessible only for established companies which banks tend to give credit to. Logicap applies RBF to Venture Financing - opening up entire new ways of funding. We help innovators fund their growth while retaining control over their company.
How does revenue-based financing work with angel or other venture capital?
RBF is often combined or leads to follow up VC investment. In addition, Logicap’s initial investment acts as a positive signal for the quality of financial track record and the intrinsic value of your business idea.
Why choose RBF instead of common VC money?
Onboarding equity investors takes months. Due the low company valuation of startups, the founders lose a considerable amount of the shares. We fix all this with founder-friendly, pre-existing contracts that guarantee maximum flexibility in your operations. Plus, once the financing amount is paid back to us, the success of your company belongs solely to you which makes RBF cheaper than any VC deal.

How Partnering with Logicap works


What documents do I need to apply?
To begin with, please fill out the application form, which merely asks for some information on your company and general financials. Based on this, we’ll get back to you with additional requests, as we will need to access your financials in detail for our lending decision.
Our startup is in idea stage and does currently not generate revenue. Is there a funding possible?
As of now, Logicap is only looking for companies with a Monthly Recurring Revenue of over €10,000. Once you reach that threshold and require financing though, we are happy to make you an offer.
When does the agreement end?
The financing agreement can be ended any time by the borrower by paying the buyout amount. This amount is determined when the agreement is made and ranges between 1,35 to 2,2 times your initial funding received.
How much is the interest?
We don’t charge interest. Once we provide you capital, we believe in your business idea and bear the risk accordingly. This means that if you do not generate revenues after all, you do not pay back anything to us.
How long does the process take?
While it takes you only a few minutes to fill our online application form, it takes only a few days and some phone calls with you to process the whole financing. It usually takes 48 hours until a first feedback from our site and a maximum of two weeks in total until you will receive the funding on your accounts.
Do I qualify if I am currently not profitable?
Yes, but we need to see a clear path to profitability in your numbers.
Are there any restriction on what to use the funds on?
We do not want you to use the money to repay existing debt or buyout previous investors. Apart from that, there are no constraints. You can use the capital for any revenue-generating purpose in the universe of your company.
What if I need an additional funding? Is there a follow-on financing available?
Yes and yes. And with already knowing you and your business, we can deliver liquidity within hours.
Does is get any better than this?
We have been on both sides of the table and can tell you, it doesn´t. At the same time, our team at Logicap is already working hard on making financing even easier for you in the future.

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If you have any further questions get in touch with us.