Runway Growth Capital

Runway Growth Capital is a prominent venture capital firm based in Chicago, United States, specializing in providing senior secured term loans to late and growth-stage companies. Unlike traditional equity investors, Runway focuses on venture debt, offering a non-dilutive financing option for businesses that have already demonstrated significant traction and secured substantial equity funding. This approach allows companies to extend their cash runway, achieve key milestones, or bridge to their next equity round without further diluting existing shareholders.

The firm targets companies across various sectors, including technology, life sciences, and healthcare, that are backed by leading venture capital and private equity firms. Runway Growth Capital's typical investment size ranges significantly, with first cheques generally falling between $10 million and $75 million. This flexibility allows them to support a wide array of growth-stage businesses, providing capital for working capital, product development, market expansion, or strategic acquisitions.

Runway Growth Capital operates through both private funds and a publicly traded Business Development Company (BDC), Runway Growth Finance Corp. (NASDAQ: RWAY), which enhances its capital deployment capabilities. In October 2023, the firm announced the final close of its third fund, Runway Growth Credit Fund III, LP, with $470 million in commitments, underscoring its continued growth and investor confidence. Since its inception, Runway Growth Capital has committed over $2.2 billion in capital to innovative companies, solidifying its position as a significant player in the venture debt landscape.