Private Equity Manager Keith Gilabert Launches Venture Debt Firm

BEVERLY HILLS, Calif. - Nov. 19, 2013 - PRLog -- VC vet Keith Gilabert announced his departure from Lorze Institute this morning. His new venture firm Fina V Capital has launched with a network of lenders that will finance small to medium size businesses.

In their press release, Fina V Capital stated, funding is a critical success factor to start-up and early stage growth companies.  All financing will be asset-backed or equipment secured, with senior growth capital term loans without requiring depository relationships, performance or financial covenants, or substantial equity dilution.

Principal and Founder Keith Gilabert states, “We want to see these companies succeed, 50% of total venture debt is financing strategic initiatives between $5 million and $10 million.  This market is under serviced and it provides a huge opportunity for Fina.”

Unlike traditional financing companies or commercial banks, Fina V Capital will serve entrepreneurs by providing less dilutive, more flexible forms of capital. They will provide senior and subordinated term loans in the $1 million to $20 million range to emerging businesses backed by venture capital and private equity firms.  Target clients range from emerging growth companies led by dedicated entrepreneurs to late-state, established companies seeking cash-flow for expansion.

According to Gilabert, “Often times the nature of the company’s business model requires it to fund certain costs before it is paid by its customers.  Thus, even though the company is cash flow positive it will miss opportunities due to its cash restraints.”  FINA allows companies to borrow based on the credit of the customer.  “Whereas a traditional bank would consider the client a credit risk, we evaluate the source of capital.”

For companies considering venture debt, you will be required to have two to five-plus years in business and generating meaningful revenue with a clear path to growth.  Invoice factoring and accounts receivable factoring are effective ways to get the financing required without the debt or hassle of a small business loan.

In an economic climate where small business loans are difficult to obtain debt factoring firms such as Fina V Capital can help you increase and stabilize your working capital.