Steve Benson

It's, it's relatively expensive capital, but, um, but I think it's a great time for people to look to, to bring debt into the business.

and kind of get through this period of time.

I think it's a really good, I mean, if you haven't tapped debt before, I would ask you why you haven't tapped debt before.

Oh, I've got a whole doc on this.

Yeah.

I don't know if I'll be able to find it that quickly.

Okay.

Um, so things to watch out for, uh, uh,

offers that, uh, well, first of all, it is relatively expensive money, but some are extremely, um, expensive money.

So, you know, there are, there are lenders, business lenders, business, businesses aren't protected.

Like consumers are protected from, from lenders.

So there's not like, uh, you can't, yeah, you can't use three laws, meaning there are rules around how much you can charge a consumer for an interest.

There are no such rules around, uh, around for businesses.

Half the lenders out there just charge egregious rates.

I'd say anything over 22% is egregious.

22% sounds high, but if you're making $500,000 a year as a SaaS company, they're taking a fair amount of risk.

If you're growing fast and you feel confident in the business, 22% is not that much money because if you sold equity, that's

that could be 100% or 200% return for the investors or even more.

But as you get larger, I think the prices come down to more around 16%, 17%, 18%.

And I think that's much more reasonable for a more mid-sized SaaS company.