Novel has announced a $15 million oversubscribed Pre-Series A round, co-led by IGNIA Partners and Ulu Ventures, to propel the fintech’s expansion of its groundbreaking Capital Intelligence platform. The funding round also includes participation from MatterScale, Gaingels, and previous investors.
This funding round increased Novel’s total funding to over $130 million, fueling its mission to transform how tech founders fund and grow their businesses.
By utilizing AI, real-time data, and its innovative capital-as-a-service model, the Novel platform equips founders with non-dilutive capital and essential tools for optimizing their capital stack. By making more strategic fundraising decisions, founders are enabled to scale faster and exit better.
Novel’s central offering is its standout Capital-as-a-Service model, a subscription-based capital solution that firmly puts control in the hands of founders by eliminating costly transactions, draws, pre-payment fees, and warrants.
With a proprietary and data-driven scoring model, Novel can quickly assess how much non-dilutive growth capital to provide to a tech company by leveraging their key metrics in real-time, ensuring an accurate estimate that maximizes capital availability, while allowing the company to thrive during repayment.
So far, Novel has worked with 350+ SaaS companies and provided over $100 million in non-dilutive funding. And customers also utilize their Capital Intelligence platform, including their real-time CEO Dashboard, giving Founders a bird’s eye view of their most important metrics; and their Valuation Tool, which enables founders to determine their company’s current worth and benchmark it against thousands of other software companies.
The latest offering VentureMatch is a data-driven matchmaking service that directly connects founders with over 100 world-class partner VC firms for access to equity financing.
Novel’s revenue has grown over 120% year-over-year as of Q1 of this year. And they project doubling their growth in the coming year and reaching profitability within the next 18 months – something more and more VCs appreciate in their investments since 2021.
KEY QUOTES:
“The tech founder’s journey is often fueled by passion but also filled with obstacles. Grounded in our own entrepreneurial experiences with fundraising and making capital strategy decisions, Novel’s mission goes deeper than funding—it’s about leveraging technology to guide and support entrepreneurs. Our Capital Intelligence platform and data-driven approach democratizes access to growth capital and strategic tools, ensuring every tech founder has a greater chance to turn their vision into reality.”
- CEO and Co-Founder Carlos Antequera
“With Novel, you really get the sense that you’re working with fellow entrepreneurs and innovators. They go deeper than just the numbers to better understand the company, its trajectory, and its market. Novel is taking a new approach to growth and risk assessment that is highly valuable to SaaS companies.”
- CFO of Vital Data Technology Adam Little
“Ulu is excited to continue our support of the Novel team as they drive sustainable growth in a large and growing market. Novel has developed a strong product suite that truly address the needs of the SaaS ecosystem.”
- Steve Reale, Partner and CFO at Ulu Ventures
“Having experienced the venture capital world, I’ve learned the crucial role of supportive capital in entrepreneurial success. At Novel, our platform not only scales to support thousands of entrepreneurs but also integrates seamlessly into the capital ecosystem. Our goal is not to overshadow traditional funding routes but to enhance them, ensuring that every tech founder has the tools and capital to succeed.”
- COO and Co-Founder Keith Harrington
“As entrepreneurs themselves, they deeply and uniquely understand the capital challenges of launching, operating, and scaling businesses. With Novel’s customer-centric approach, countless startups will thrive, gaining vital access to essential strategy tools. We have the utmost confidence in their ability to transform the funding landscape for entrepreneurs, and we couldn’t be more excited for what the future holds.”
- Christine Kenna, Partner at IGNIA
