LaunchCapital Aims to Fill Lending Gap

Ryan McBride10/27/09

LaunchCapital, a Cambridge, MA-based firm focused on early-stage financing, revealed today on its website that it has launched a lending option for small businesses. The firm plans to lend up to $150,000 to young businesses that are within six months of gaining revenue, and the deals would provide LaunchCapital with a small equity stake in the businesses rather than charging high interest rates to cover the risk of such loans, said Elon Boms, managing director of LaunchCapital. Boms writes about the gap in available financing that his firm seeks to fill with its new lending product.