Size: With $50 million in assets under management, it is raising an additional $50 million
What it is: Founded five years ago, LOUD Capital has provided alternative financing, including asset-based funding and venture debt, to about 400 companies in industries including supply chain and professional services firms. Investors earn performance-based dividends and bonuses at different levels depending on the length of time they invest, from one to five years. LOUD is now launching an additional $50 million asset-based funding product, based on increased demand from companies during the pandemic. LOUD Capital also has three venture capital funds, including the Pride Fund, launched this year, which invests in LGBQT+ entrepreneurs, with investments so far in restaurants and a fashion company.
Minimum Investment: $100,000 in most products, but $50,000 in the Pride Fund.
Leadership: Founded by physician and entrepreneur Navin Goyal, and entrepreneur Dashan Vyas.
Investment style/track record: The firm hasn’t yet produced returns in its venture capital funds, but its asset-based funding products have returned more than 10% in annual dividends, in addition to a bonus. Its venture capital investments include Hyperion, a hydrogen-powered car company, and Honest Game.
Quote: “I want there to be a sense of responsibility. We have the ethics of a physician, ‘First, do no harm,’” said Goyal. With its asset-based funding products, the firm sees itself helping to solve the capital gap left by banks that are focused on federal emergency loan programs such as the PPP.
Demetric Duckett, Living Cities managing director, is leading the initiative. In 2008, one of Silicon Valley’s most famous venture capitalists,...