Debt financing is becoming more and more popular as a substitute for working capital since it is quick, easy, and tailored to the needs of the business, particularly growth-stage companies. These alternative funding sources are much more relevant today because of the so-called funding winter, which makes it difficult for companies to obtain equity money. A number of revenue-centered financing platforms have surfaced in recent years; Getvantage, Velocity, and Klub are a few of the well-known ones. Recur Club, a prominent player in the industry, is situated in Gurugram and has committed to allocating Rs 1,000 crore to 500 enterprises by 2023. The company's current goal is to become more involved in the startup community. In addition to onboarding more companies, the roadmap calls for higher number of startups as well as more investment deployment.The platform spoke with Recur Club's CEO and co-founder, Eklavya Gupta, to gain a deeper understanding of the company's operations, expansion, and future goals.

Startups including Ustraa, Rage Coffee, Moveinsync, Keka HR, Xoxodays, and others have received funding from Recur. The platform established a $10 million fund in July of last year to support businesses who are actively pursuing a more sustainable and environmentally friendly future.Recur Club is not currently seeking to raise further funding. "We don't intend to raise any funds anytime soon as we have adequate capital." This year, we want to recruit 500–700 businesses and deploy Rs 2,000 crore through its platform, according to Gupta. According to Gupta, the company makes deals in the software and SaaS sectors for about half of its deals, with the remaining half going towards logistics and commerce. The investment pattern is not too unlike from other platforms that rely on revenue.The credit range offered by Recur Club is Rs 20 lakh to Rs 35 crore, with an internal rate of return (IRR) of 15% to 19%.Recur Club facilitates the connection between startups and more than fifty leading lenders, such as banks, institutional capital providers, Tata Capital, HSBC, Aditya Birla Capital, INCRED, and Ugro Capital, among other NBFCs.

Recur Club evaluates leads based on three main criteria, according to Gupta: a minimum average revenue run rate (ARR) of Rs 1 crore, a minimum of six months' lead time, and positive revenue growth. Recur Club charges a nominal percentage to lenders and borrowers in order to generate revenue. "We charge 0.5% to 3%, depending on the kind of investors and companies," Gupta continued.