Capital - The One Stop Shop for Startup Finance

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Startups are created to challenge problems that plague a variety of people. They start as an idea that is iterated on by a team that with the proper execution and a mix of other factors, will scale to become companies with longevity. Outside of companies like Mailchimp, Calendly, and Atlassian which are either 100 percent bootstrapped or have been self-funded for the majority of the company lifecycle, many startups look to raise funds through venture capital. While it’s common to see headlines in TechCrunch about funding rounds, it is not common for startups to raise venture capital. Less than 1% of all companies raise funding in this way. 

With there not being a large volume of companies that are receiving venture capital dollars, founders have to find ways to bring capital to their businesses whether that is through debt, equity, or non dilutive means. Capital is creating a platform that alleviates some of the burden for founders raising funds for their startup by automating the fund structure. These practices typically require going on “road shows” to meet with investors with the purpose of receiving term sheets. After founders agree to the investment terms, they have to rally investors on the cap table to give the necessary funds. 

With Capital, these manual tasks are taken care of by the platform. Founders can send a link for the round of funding to their communities and relevant investors where these individuals can deploy capital. With Capital being fully integrated in the web3 ethos, the company recognized that payment options should be flexible and the platform currently permits investors to deploy capital in fiat via wire transfer or through stablecoins via USDC. Providing these different avenues of payment contributes to the democratization of angel investing and increases the volume of opportunity to close the round.