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AXIS garnered widespread exposure with the introduction of the AXIS Gear, getting coverage from media outlets like the Discovery Channel, TechCrunch, and CBS. There was even a successful appearance on CBC’s Dragon’s Den, leading to a $400k investment. As demand grew so did operations, product development, and manufacturing.
AXIS needed capital, fast.
Growing demand for their product was putting pressure on the company to fulfill it. At the same time, AXIS needed to release vital inventory, and get ready for big milestone events like Amazon Prime Day. The company had an expected $1M+ in sales planned and needed to figure out how to source the cash for inventory they needed.
As the company was faced with the option of giving up more equity for working capital, AXIS saw the smart use of debt as an alternative to fund their short term capital needs. By leveraging their future R&D tax credit refund through R&D Advance Funding, they’d get a sizable cash injection at just the right time. In their first discovery call, it was obvious that Trung had a clear priority: “How quickly can you get us the money?” They’ve never financed their R&D before, but Trung found it slow working with other financiers due to the “more complicated process with higher fees and interest rates.”
Understanding the company’s time pressure, Fundsquire made the deal with AXIS a high priority and committed to completing due diligence in 5 business days, half of the regular time.
Making the deal a priority, both Trung and Fundsquire devoted significant time and resources to get the due diligence done quickly. Smooth and clear communication, coupled with a visit to AXIS’ office in Toronto, helped speed up the process on Fundsquire’s end.
In fact, Fundsquire conducted due diligence and had the money in AXIS’ account in a lightening fast 6 days.
AXIS was surprised and delighted with how fast and easy the Fundsquire process was. As an international company with offices in Australia and the United Kingdom, Fundsquire is able to leverage its global expertise to provide support and service that is unmatched by other R&D financing companies. When asked about the overall experience, Trung saw the value in simplicity:
Fundsquire’s R&D Advance Funding allowed AXIS to keep their momentum and continue to grow at the pace that is expected for a tech company of their caliber. Without the funding, AXIS may not have been able to reach their fulfillment targets or would have had to sell precious equity for short term capital.
