The Hum Blog > Fundraising Resources

Introducing Hum Capital’s Max Debt Calculator

Written by Hum Capital

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Are you a founder, CEO, or CFO of a company seeking to grow/scale? Have you recently completed an equity round and are ready to raise venture debt? Or are you a founder new to debt financing and want to know how much debt your company can raise to grow?

Today, it takes a long time for a company to understand just how much capital they can raise to grow their business and if those raise expectations are realistic. If you’re a first-time founder or seasoned CEO, it doesn’t matter, all company leaders experience the same issues and ask the same questions. Often, companies who choose to uncover how much debt financing they can raise on their own, are not asking the right questions, looking at the right data, or examining the full picture.

This is why at Hum we are excited to introduce our latest interactive fundraising tool – the Hum Max Debt Calculator. By inputting financial metrics into the calculator such as annualized revenue, receivables & any existing equity raised (just to name a few), companies can get an estimate of how much debt they can expect to raise. In many ways, it’s similar to consumer mortgage websites that ask information such as income, desired payoff timeline, etc. and then return to the consumer the types of mortgage loans he or she would qualify for. With this information, companies can set their expectations accurately at the start of the fundraising process and understand their value prior to meeting with investors. It is important to note that the output of the Max Debt Calculator is an estimate of the maximum loan size a company can expect, and is not a guaranteed number.

After successfully completing the Max Debt Calculator, you will be provided with the following output:

  • Max new debt: the predicted highest amount of debt financing a company can raise in US dollars
  • Which metric the “max new debt” is priced on:
    • Revenue
    • EBITDA
    • Inventory
    • Receivables

Ready to try it out? Click here!

And remember, Hum Capital helps companies like yours analyze their performance data to understand their financing options, via our funding platform, the Intelligent Capital Market. If you are ready to fundraise and now know how much debt financing you can raise, be sure to sign up!