Government Tax Credits
How It Works —
Federal, state, and local governments set aside $100B+ in cash incentives for startups that most founders never utilize. The financier automatically identifies and claims these tax credits for the customer, and then advances interest-free capital within 24 hours. The financier only gets paid if the customer is eligible for government savings.
Example —
You’re a tech startup with US-based employees and contractors. You’ve heard of government incentives, but don’t have the time, money, or expertise to navigate complex tax statutes. The Financier identifies which tax credits are available to the customer, calculates the redemption values, completes the documentation, and then advances operating capital for a percentage fee of the credit value.
You Might Be A Fit If —
- You have US-based payroll (employees and/or contractors).
- You were founded in the last five years.
- Your revenue for this tax year is less than $5M.
- Your business is focused on hard sciences like software, hardware, life sciences, aerospace, materials, etc.
Why You Would Use This —
You want to add months of additional runway to your company.
You prefer non-dilutive, interest-free cash over other financing vehicles.
You want an automated “set it and forget it” tool that saves you tens of hours per year.
Accountants and CPAs aren’t worth your time or money.
What TO WATCH OUT FOR —
Claiming tax credits may indirectly increase the likelihood of an audit.
Some agencies overcharge their customers (20-25% is standard).
Based on tax credit type, some funds are made available to customers sooner than later.