Home Insight News & Update 8vdX Launches ‘Seedex Booster’ To Support Early Stage Startups

8vdX Launches ‘Seedex Booster’ To Support Early Stage Startups

8vdX Launches 'Seedex Booster' To Support Early Stage Startups
Venture debt marketplace 8vdX has launched an initiative called Sedex Booster, which aims to provide additional funding of up to $1 million to startups in Pre-Series A rounds.

Venture debt marketplace 8vdX has launched an initiative called Seedex Booster, which aims to provide additional funding of up to $1 million to startups in Pre-Series A rounds.

Seedex Booster will invest up to 25% of the amount raised in the Seed Extension round in startups with an average ticket size of $250,000-1 million, as per reported by VCCircle.

The firm also claims that the program is designed to be repaid with Series A funding, but founders have the option of creating an amortization schedule to repay the loan or extend it at maturity.

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The new offering under the Y-Combinator initiative will provide bridge loans to startups till Demo Day. In a statement, 8vdX said it seeks to address the challenges founders face in the current fundraising environment by providing a funding runway that will enable startups to meet the expectations of Series A investors.

In an interview with VCCircle in March 2022, the firm said that, according to research, traditional venture loan options are not founder-friendly as startups need to provide personal guarantees, offer cash flows, open captive bank accounts with lenders happens, etc. It is a time-consuming process that does not match the speed at which these startups are growing.

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“Our goal is to help startups achieve their potential and raise Series A funds. We believe that Seedex Booster will be a valuable tool in achieving this,” said Lavhale in a statement.

About 8vdX

8vdX is a venture debt marketplace that allows early-stage startups to easily raise capital. Ravi Chachra and Vijay Lavhale set up 8vdX in 2021.

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