At Credo, we believe that in the 21st century accessing capital should be done in seconds instead of days, be free of interest rates, and crucially - free of debt.
It’s 2024 and it still takes 15 - 26 days for a small business loan to go from application to fully funded.
Nearly always requires some form of guarantee, often a personal guarantee for sole proprietors.
Puts small businesses and small business owners into debt.
Still may be rejected by banks after weeks of waiting (35% rejection rate in the EU).
Revenue sharing agreement for a fixed period of time means the business subject to the agreement is not in debt.
Joan’s Coffee shop, grossing 50k in revenue per month, applies to credo for 40k in urgently needed funding.
They are instantly offered a one year charter agreement with the following terms: 40k upfront in exchange for 8 percent of gross revenues during the following 12 months.
They will also be offered longer charter agreements with lower sharing percentages.
Once an offer is chosen the money will be sent to the recipient's bank account and arrive immediately.
Grants insights into clients financial status and easy account linking
Allows us to predict future revenues
Allows for instant bank transfers
Each contract is designed to yield 5-7% annually.
Rights to the proceeds of these contracts will be sold off to third party investors at face value, thus recouping the principal contract amount.
Credo collects 1% of the principal value of the contract as an origination fee, and 0.25 to 0.5% of each repayment as a servicing fee.
Projected Growth Rate: CAGR of approximately 13% from 2024 to 2032
Primary Customers: SMEs, including solo entrepreneurs
Key Needs: Accessible & affordable financing under $50,000
Market Gap: Challenges in securing traditional funding
