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This is also something you see with some other corporate products for startups, for example, Brex explicitly says "Credit limits are based on the cash you've raised and/or equity in your company" [0] while Stripe instead asks about revenue [1] (I assume because they're in a unique position to verify it). I guess different b2b companies are looking to serve different kinds of businesses (shocking conclusion, I know).

All of that said I definitely agree, as an outsider, it seems like a bootstrapped business would have a lower risk profile, but a venture-backed business would have faster growth potential and thus be worth more in premiums, so maybe that's their reasoning?

[0] https://brex.com/startups/ [1] https://stripe.com/corporate-card






I'm not sure that bootstrapped businesses have a lower risk profile, at least depending on what the other business views as risk.

VC backed companies have a route to capital and lines of credit if they tank. What is Brex/Vouch going to do if your bootstrapped business tanks? Take your house?


That's a good point, and bootstrapped businesses (in the US at least) are generally incorporated in a manner that protects personal assets, so the provider would not even be able to go after the owner's house in most cases.

If I recall, Brex says their minimum is $10K/rev per month



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