Novel Capital

Novel Capital, headquartered in Overland Park, Kansas, operates as a prominent fintech growth platform specializing in non-dilutive financing for B2B SaaS and other recurring revenue businesses. Unlike traditional venture capital, Novel Capital provides capital without requiring equity dilution or board seats, aligning its repayment structure with a company's revenue growth. This approach is particularly attractive to founders seeking to maintain full ownership and control while accessing crucial growth capital, fostering sustainable expansion for their ventures.

The firm primarily targets companies that have achieved a minimum of $10,000 in monthly recurring revenue (MRR), indicating a proven product-market fit and a stable revenue stream. Their unique funding model allows businesses to access capital based on their existing revenue, with advances typically ranging from 3 to 12 times their MRR. This flexible structure ensures that funding scales with the business's performance, offering a more sustainable alternative to equity financing for many growth-stage companies.

Novel Capital's typical first check sizes for eligible businesses generally start around $30,000, derived from their minimum MRR requirement and a 3x MRR advance. They are capable of deploying significantly larger sums, with their stated maximum check size reaching up to $10,000,000. This broad range allows them to support a diverse portfolio of B2B companies, from those just beginning to scale to more established enterprises seeking substantial growth capital. Their commitment to leveraging technology for a streamlined application and funding process further enhances their appeal to fast-growing businesses.