# Extend your runway with Mercury Venture Debt Keep your equity with venture debt financing built for high-growth startups. Mercury’s Venture Debt and Working Capital loans are originated from Mercury Lending, LLC ( [NMLS](https://www.nmlsconsumeraccess.org/): 2606284) and serviced by Mercury Servicing, LLC ( [NMLS](https://www.nmlsconsumeraccess.org/): 2606285). Mercury Lending and Mercury Servicing are wholly-owned, separately managed subsidiaries of Mercury Technologies, Inc. ## Designed for scaling companies ### First-class terms We offer straightforward payback plans, minimal dilution, and competitive interest rates. ### For the long run We’re here through it all. We can chat about refreshing your loan with your next VC round. ### Sector-agnostic Lending for VC-funded companies across stages and industries. ## We’ve modernized the application process If you’ve raised venture capital recently or are thinking about raising it soon, you may be a good fit for Mercury Venture Debt. ### Step 1 #### See if you're eligible Complete our simple, confidential questionnaire to find out if your company is a good fit. ### Step 2 #### Kick off diligence We only need four documents to get started, and you can upload them directly to your Venture Debt dashboard. ### Step 3 #### Customize your terms Expect transparency – we’ll work with you to structure your term sheet in accordance with your priorities. ## Venture debt, reimagined Our tech-enabled process is engineered to help you manage your capital with ease, all from a single dashboard. ### Easy access to your funds Request withdrawals and see how much capital you have left in just a few clicks. ### Testimonials > Mercury Capital is beyond impressive. They are faster, easier to work with, and offer terms just as competitive — if not more — than the most established players. They’ve redefined the industry. > — John Andrew Entwistle, Founder & CEO, Wander > Mercury has been awesome to work with. Simply put, their venture debt offering is cheaper, better, and faster than the competition. And their team goes above and beyond to be helpful. We couldn’t have asked for a better partner. > — Daniel Chan, Co-founder, Mayfair > We’ve chosen to work with Mercury since day one because of the simplicity they bring to our finances. That experience has carried over to venture debt — the process was transparent and easy and the terms were fair. > — Jonathon Barkl, Co-founder & CEO, AirGarage > The Mercury team was supportive throughout the process and we closed our deal quickly. They really eased any nerves we had about venture debt. > — Paul Drysch, Founder & CEO, PreAct > Mercury is built by entrepreneurs, for entrepreneurs. With their unrivaled venture debt and all-in-one financial platform, they’re the ideal partner for us to build and scale our business long-term. > — Jonathan Segal, Co-founder & COO, Zeno Power ## Frequently asked questions ### What is venture debt? Venture debt is a term loan issued to startups that have raised venture capital within the past year. While traditional commercial loans focus on cash flow and can be hard to access for startups, Mercury Venture Debt focuses primarily on the strength of your VC investors and founding team, as well as your startup’s potential for growth. ### Why would I raise venture debt? Venture debt can extend your runway with minimal dilution, giving you more time to reach milestones, fund growth, and can act as an insurance policy to avoid down rounds. ### How does venture debt work? Once an agreement is made and the terms are finalized, you can draw the funds from your Mercury account at any time during your interest-only period, which can span up to 18 months. After that, you’ll have a payback period. In total, our loans run up to 48 months. Many founders apply to refinance and refresh their loan after they have raised their next equity round. ### What if I’ve already taken venture debt from another provider? It’s not uncommon for companies to refinance their venture debt with a new provider. If you have recently raised an equity round or are planning to do so in the near future, we may be able to offer fresh terms and resize the loan based on your current needs. ### Do you have more information about venture debt and term sheets? Read our [guide to venture debt for startups](/content/blog/venture-debt-101/index.html). ### What is the cost of Mercury Venture Debt? We charge an origination fee to process your loan application. We also charge interest and receive a small warrant, or the right to purchase equity from your common stock. Unlike some providers, we do not charge a prepayment penalty, back-end fees, or final payment fees. ### What kind of companies do you back? Lending is for U.S.-incorporated companies that have raised venture capital within the past 12 months and companies that are planning to raise venture capital soon. At this time, we are unable to offer venture debt to businesses operating in California. ### Will venture debt make my startup unappealing to VCs? No. In fact, some of the biggest companies in the world have taken venture debt in tandem with venture capital. Many VC firms recommend venture debt to companies as a way to avoid a down round, extend their runway, and hit milestones. We work alongside top VC firms, including Andreessen Horowitz and Founders Fund. ### What if I don’t qualify for Mercury Venture Debt? We also offer other financing options that might be a better fit for your stage and business model.