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Extend your runway to postpone your next VC round

Create a cash buffer that extends your runway and secures additional months until you raise your equity round at a more convenient moment. Thereby you gain more time to improve your cash flow towards break-even, leading to a better valuation and less dilution.

Calculate your funding terms
Preserve runway

Leverage re:cap funding strategically to cover ongoing costs to maximize your runway.

Reach profitability

Utilize re:cap funding and improve your cash flow towards break-even.

Discover insights

Use re:cap benchmarking to compare your financial performance against your competitors and identify areas to improve your cash flow.

Raise better

Improve key metrics by postponing your equity round and raise cash in a more suitable environment.

Secure funding tailored to your needs

Calculate funding terms

Why should you extend your runway with re:cap?

Depending on your situation, re:cap works as a substitute or addition to other financing options – with advantages in both cases.
Direct costs
Indirect costs
Time to money
Reporting requirements
Venture Debt
8% – 15% p.a.
May be divided in cash and Payment-in-Kind (PIK) interest rates
Warrants and equity
Counting in legal fees, closing fee, maturity fee
3+ months
€1m – €50m
Often divided into tranches, where each tranche is tied to the achievement of milestones
Due to equity warrants or equity kicker
Financial covenants & securities
For example pledges on receivables, patents, intellectual property and/or bank accounts
Monthly reporting
Depending on the respective exposure, providers may also ask for board seats
2% – 15% on each financing
48 hours
Up to 60% of ARR
Automated through platform
Calculate funding terms
Venture Capital
>€100k – €900k
Legal, notary and potentially advisor fees
5% – 25% loss of shares
per equity round
Legal, notary and potentially advisor fees
3+ months
€1m – €50m+
Personal guarantees & commitments
Monthly reporting, board seats
More options

Reduce dependency on venture capital and venture debt.

Less dilution

Preserve your ownership stake and stay in control of your company.

Less costs

Save time and money spent on due diligence and reporting.

More control

Your business, your decisions. With re:cap, you remain in charge.

What other founders achieved with re:cap


Didn’t find an answer? Talk to us.

Why should I use re:cap if I don't have runway issues at the moment or if I just raised funding?

A runway extension gives you more control and flexibility regarding when you are going to raise funds. Thus, it can allow time to realize a higher valuation or to wait for better market conditions in general. If you are already on the way to becoming cash flow positive, a runway extension can help you to reach that goal without the need for raising additional equity.

The best timing to reap these benefits is when you have just raised funds, and thus have a healthy runway, as it is a major driver of the financing conditions you are going to look at. Additionally, we see many clients who deliberately preserve raised equity capital for long term investments and use re:cap to finance all other spending. If you wait too long and your runway becomes too short it can be difficult to get any financing even if you are willing to pay more for it.

How much can I extend my runway?

The runway extension effect of re:cap’s financing depends on several factors, and thus it is very difficult to give a general answer. In our experience our financing can extend the runway on average by 12 months and in many cases enables you to get profitable without any further equity injection. As part of our suite of financial tools, we allow you to calculate your runway with re:cap to get an indication based on your individual situation.

How do I have to use re:cap in order to achieve a runway extension?

re:cap financing can be used like a revolving credit line to extend your runway. You decide how much of your total financing limit you want to use to extend your runway. The respective amount of contracts will be traded and you receive their annual value as an instant payout on your account. During the following months you can choose to stay cash flow neutral (i.e. keep using your financing line) by trading the amount of contracts required to offset the payback sum. So every month you can control if you like to increase financing, stay cash neutral or start paying back (given your financing limit is sufficient).

We advise our clients to plan for a certain extension amount and based on this we simulate the expected cash flow effect on your company using our runway extension calculator.

Are there additional points to consider?

Working with alternative financing may be a new instrument for primarily equity financed companies. In comparison to equity, the biggest difference is that you have to repay the received financing on a monthly basis. In return, you know exactly how much you pay for the financing used and in general have significantly lower cost of capital.

If you maintain a sufficient runway, future trades are always accessible. Thus, you can manage your cash flow by refinancing upcoming repayments with new trades as the capacity of your re:cap financing grows with your revenues. Our suite of financial tools enables you to discover the best timing and source of funds (e.g. new equity round or operating cash flow) and which measures are required to get there.

Is re:cap right for my company? Why should I sign up?

re:cap is made for all growing companies based in Germany or Netherlands who are already generating recurring revenue, for example SaaS. Whether VC-backed or bootstrapped, small or large – our non-dilutive, on-demand financing solution works for you.

Creating an account is fast, easy, and free of charge. As part of the onboarding process, you will get information about your current financing limit and financing conditions. Additionally, we provide you with KPIs and additional insights for free. In short: there is no reason not to sign up!

Need more information? Please visit our general FAQ section here or contact us!

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