Riverside Acceleration Capital

Riverside Acceleration Capital (RAC) is a specialized investment arm of The Riverside Company, a global private equity firm. Based in New York, RAC focuses on providing flexible growth capital to expansion-stage B2B software and technology companies. Their investment strategy is distinct in its emphasis on offering non-dilutive or minimally dilutive financing solutions, catering to founders and management teams who seek to retain greater equity ownership while scaling their businesses. This approach differentiates RAC from traditional venture capital firms that primarily offer equity-only investments.

RAC targets companies that have achieved proven product-market fit, demonstrate strong customer traction, and possess a clear path to profitability. They look for businesses with recurring revenue models and a need for capital to accelerate growth initiatives such as product development, market expansion, or strategic acquisitions. The firm's flexible capital solutions can take various forms, including term loans, structured equity, and recurring revenue-based financing, allowing them to tailor investments to the specific needs and financial structures of their portfolio companies. This adaptability is a key tenet of their value proposition, providing an alternative to dilutive equity rounds.

Typically, Riverside Acceleration Capital's initial investment cheques range from $5 million to $25 million. This range positions them to support companies that have moved beyond early-stage seed or Series A funding but may not yet be ready for, or desire, a large traditional venture capital round. Their affiliation with The Riverside Company, which boasts a long history of private equity investing and a vast network, provides RAC's portfolio companies with access to extensive operational expertise and strategic resources. This combination of flexible capital and strategic support aims to empower high-growth B2B tech firms to achieve their next phase of expansion without significant equity dilution.