Interest
Interest is the cost of borrowing money or the return earned on an investment. It is typically expressed as a percentage of the principal amount (the original sum of money borrowed or invested) and is calculated over a specific time period, such as monthly, quarterly, or annually. Interest serves as compensation to lenders for the risk of lending money and for the opportunity cost of not using the funds for other investments.
Financial Glossary
Use Lighter Capital's glossary to understand common terms used in finance and investing, so you can build financial literacy and make informed decisions for your startup.
Interest
Interest is the cost of borrowing money or the return earned on an investment. It is typically expressed as a percentage of the principal amount (the original sum of money borrowed or invested) and is calculated over a specific time period, such as monthly, quarterly, or annually. Interest serves as compensation to lenders for the risk of lending money and for the opportunity cost of not using the funds for other investments.
For more than a decade, Lighter Capital has invested in helping early-stage tech startups succeed on their terms. Explore our small-but-mighty (and always expanding) library of founder resources to level-up your financial IQ, fine-tune your growth strategies, and lead your startup towards a lucrative exit.
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“When the time was right for us to make a move in the market, Lighter Capital was an easy way for us to get the growth funding we needed without diluting our control. Working with Lighter Capital has been a great experience.”
Mark Bania, Contractor Compliance CEO & Co-Founder
Why Choose Lighter Capital?
Lighter Capital is the largest provider of non-dilutive debt capital to start ups. Over the past decade, we’ve invested hundreds of millions of dollars into growth companies.
500+ Companies Funded
$350M+ Invested
1,000+ Rounds of Funding
100+ Startup Community Members
Get Capital to Grow. Keep Your Equity.
Lighter Capital's non-dilutive financing provides startups with a quick upfront injection of growth capital based on the business's recurring revenue streams. That means you get to keep your equity and control of the business, and your loan payments are right-sized to what the business can support. Our financing also scales with you as you grow. Apply online to find out how much you may qualify for.
