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Vivek Joshi

Director & CEO @ Exc... • 7m

The global startup credit market is rapidly evolving beyond traditional VC. In Q4 2024, VC funding hit $120B (4,000 deals), with AI leading. Venture debt surged 46% to $83.4B, now 20–30% of total VC in US/Europe, offering non-dilutive capital for CAPEX/M&A. Higher interest rates demand capital efficiency. Emerging markets like SE Asia, India, and GCC are seeing rapid credit growth. Startups are diversifying with crowdfunding, revenue-based financing, and microloans. Looking ahead (2025–2028): Venture debt will become a staple. Lenders will emphasize strong fundamentals, using AI for smarter risk assessment. Interest rates will stay elevated, pushing for efficient capital use. Fintech innovation, embedded finance, ESG-focused lending, and geographic diversification will shape the landscape. AI will enable faster, personalized credit. The future is data-driven—startups with strong fundamentals and capital diversification will lead.

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