Corl is an artificially-intelligent platform that finances businesses in the digital economy and shares in their future revenue. If you’re interested in learning more about revenue sharing, welcome to connect with Corl directly through Twitter, LinkedIn or through our website.
Investing in early-stage companies is becoming more popular than ever; and with operating costs at an all-time low, easy access to global markets, and the emergence of new technologies coupled with a lack of innovation among incumbents, the number of small fast-growing companies is higher than ever before.
With the influx of these fast-growing companies, the need for adequate funding is essential to fuel expansion and innovation. However, the funding market today is centralized, fragmented, inaccessible to retail investors, and lacks the sufficient capital needed to support the growth of the tech ecosystem. Worldwide, this had led to an early-growth capital gap of over a $100 billion, which continues to grow each year.
Companies operating with less than 20 employees represent 98% of the total funding market, and yet have the most challenge with raising capital. Traditionally, investments in companies are structured via equity through Venture Capitalists (VCs) and Angels, or for later-stage companies, via a debt instrument offered through Banks. However, these options are starting to present their inadequacies for both entrepreneurs and investors due to their long fundraising time-frames, lofty eligibility criteria, inflated cost of capital, misalignment of investor-entrepreneur incentives, lack of investor liquidity, dilution of founder influence and control, high capital hurdles, long-term commitments, unstable investment pipeline or deal flow to manage diversification, and restrictive regulatory requirements.
Despite the size of the small business funding market, only 11% of companies have considered non-traditional sources of funding for raising capital. Our vision is to solve the problems of traditional investing through Revenue-Sharing.
Unlike most financing companies, Corl does not issue debt or equity investments, but rather, “dequity”. Companies that meet our strict funding requirements are financed through a revenue sharing arrangement, whereby companies receive upfront capital in exchange for a percentage of future monthly revenue until some pre-determined repayment amount is met. This type of financing structure is mutually beneficial for Corl and the company receiving funding because the objective for both parties is to maximize revenue.