Venture Debt and Convertibles
Clients appreciate the strength and breadth of our fully integrated debt and equity experience and expertise. They also praise our ability to find diverse solutions according to their needs. When a normal equity raise is not the preferred route to finance venture-backed companies, we are experienced in advising clients who may choose to use alternative sources of finance, including Venture Debt, Convertible Loan Notes or Advance Subscription Agreements to bridge equity rounds.
We have good relationships with the key providers of Venture Debt in the market and an excellent understanding of the commonly used structures and terms and how best to negotiate both the debt element and any related equity instrument.
We regularly advise on advanced subscription agreements (ASAs or SAFEs) and convertible loan agreements. We understand how to manage commercial imperatives and expectations and how to structure these instruments to ensure an efficient funding process that will work when it comes to the time to convert. More recently we have advised numerous clients taking a British Business Bank’s Future Fund-matched Convertible Loans and the implications on conversion and exit.