Revenue-based investing with Levenue

Hey everyone,

Today we’ve got a short spotlight on a unique company called Levenue.

Levenue is a trading platform that serves as the largest European exchange for recurring revenue-based investment opportunities.

If you’re interesting in non-dilutive financing opportunities, this one’s for you.

What is Levenue?

As a marketplace, Levenue connects high-growth, subscription-based companies with institutional investors, offering transparent access to a vast range of investment opportunities.

Levenue allows growth businesses across eleven European countries to auction between 30% – 45% of their annual recurring revenue in exchange for an immediate injection of non-dilutive capital.

How it works:

  • Companies connect their subscription, accounting, and banking data
  • Levenue performs sanity checks
  • If the company falls into the eligibility scope, they receive a trading limit (between 30 to 45% of ARR)
  • The subscriptions are traded through Levenue’s platform
  • Investors can bid on those contracts via Dutch auction. Highest bid wins
  • Trade is made between 2 to 7 days from the start of the process

Due diligence on deals

Levenue performs all exhaustive and secure due diligence within a few hours.

They do this by connecting directly to the banks, accounting systems, and subscription management platform of the companies.

With continuous 24/7 monitoring of over 1000 data points, Levenue ensures the integrity and dependability of opportunities and established transactions through the exchange.

Benefits for both sides

The great thing about Levenue is that investors simply have to define their investment strategies and automatically get matched with the best-aligned opportunities.

Investors get a regular, attractive flow of income during a 12-month investment, while entrepreneurs gain access to cost-effective capital without having to dilute their shareholding.

The platform provides access to short-term, diversified fixed income-like assets, delivering attractive alpha (+21% avg IRR) with lower beta than comparable opportunities, evidenced by a 0% default rate since inception.

Closing thoughts

Since its founding in 2021, Levenue has successfully financed over 250 companies throughout Europe, offering entrepreneurs a more competitive alternative to traditional financing that does not require collateral, debt, or dilution of shares.

If you operate a European business with recurring revenue and seek non-dilutive capital to boost your growth or extend your runway, or if you are an investor looking to invest in high-growth companies, Levenue is an ideal match for your needs.

Disclosures

  • We have no investments in Levenue through our ALTS 1 Fund.
  • This issue does not contain any affiliate links.

This issue has been a sponsored spotlight, meaning Alts has been paid to write an short, independent analysis of Levenue. Levenue is a sponsor of Alts, but this content is original and unique. This should not be considered investment advice, but rather an independent analysis to help readers make their own investment decisions. All opinions expressed here are ours, and ours alone. We hope you find it informative and fair.

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Author

Stefan von Imhof

Stefan von Imhof

Stefan von Imhof is the co-founder and CEO of Alts.co.  With a background in alternative asset analysis, valuations, and due diligence, Stefan was born for this world. His alternative investing  newsletter has grown into Alts.co — the world's largest alt investing community, with over 120,000 investors. Originally from Boston and later Santa Barbara, CA, he now lives in Melbourne, Australia with his beautiful wife.

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