Singapore lending firm Lend East launches revenue-based debt funding solution

Singapore-based digital lending platform Lend East announced it has launched Levl, a revenue-based financing solution for startups.

Karan Bhatia, CEO of Lend East/ Photo credit: Lend East

Levl is a sector-agnostic offering that will provide debt capital to startups in return for a flat fee, with repayments taken as a small percentage of the monthly revenue. The company says that startups will not be required to make large, fixed repayments during slower earning months, as the repayments are structured as a percentage of revenues.

Founded in 2018, Lend East aims to fill the financing void left by traditional models by connecting global institutional investors with alternate lending platforms and tech startups seeking debt capital.

“Debt financing for startups is still in its nascent stages in Southeast Asia and India, accounting for less than 2% of the venture capital size in the region,” said Lend East’s CEO, Karan Bhatia. “A revenue-based debt offering becomes attractive for revenue positive ventures looking to scale while keeping ownership intact.”

According to Lend East, revenue-positive startups with active businesses for at least 12 months can apply to avail flexible funding from US$250,000 to US$2 million.

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The company has evaluated startups across software-as-a-service, micromobility, direct-to-consumer, and payments, and is looking to broaden its sector focus in 2021. It is also working with banks, credit funds, and family offices to raise further debt capital for deployment into its identified opportunities.