Capchase, a New York-based fintech startup founded in 2020, has raised $200 million in a combination of $26 million equity and a $174 million credit facility, led by 01 Advisors with contributions from investors like Caffeinated Capital and Thomvest Ventures. Originally known for revenue-based financing for SaaS companies, Capchase pivoted in 2022 to focus on vendor-financing technology for B2B sales, allowing software and hardware vendors to offer ‘buy now, pay later’ options while receiving upfront payments. This approach addresses enterprise sales’ common tension where vendors want immediate payment and buyers seek capital preservation.
The platform leverages AI to compress financing approvals from days to seconds, automating processes such as order parsing and multiparty coordination. This innovation supports Capchase’s rapid growth, with a 400% increase over the past year and plans to expand further into enterprise clients and new geographic markets including Australia. Its clientele includes major tech companies like Barracuda Networks and Palo Alto Networks. Capchase aims to transform a $1.3 trillion equipment financing market dominated by traditional lenders through technology-driven solutions.
