Hey Reader,

Altitude Edition 016 is hot off the press from Cirrus Capital Partners ♾, the better way to finance your company.

As usual, here's our bird's eye 🦅 view of the most exciting news and insights around...

• Successful Companies and Founding Teams
• VC, PE, M&A, and Credit Transactions
• Growth Metrics, Benchmarks, Charts & Data
• New and Emergent Technologies
• Productivity Hacks

Created for founders, bootstrappers, VCs, angel investors, marketers, technologists, executives, and operators—everywhere.

Let’s get into it:

Company Updates

$44.85M in term sheet value generated in July for 14 unique clients across a diversity of various industries—and we have no signs of slowing down this month or next! If you're a growth-focused company wanting to keep your equity and learn about non-dilutive capital solutions, consider us a thought partner.

Mo Money, Mo Problems, M(O)ZEMPIC?

Ozempic is turning Denmark into a 'pharmastate'

Ozempic, a well known diabetes drug and what Hollywood celebrities quietly use to drop large amounts of weight while telling the public it's their exercise routine and strict fruit-only diet, has had a significant impact on the Denmark economy. The drug's success has boosted the profits of Novo Nordisk, the Danish pharmaceutical company that produces it, leading to a surge in Denmark's GDP. However, there are concerns about the long-term economic dependency on a single product and the potential consequences if demand decreases.

Google is a monopoly, judge rules

Google is a monopoly? 😲

In a recent antitrust ruling against Google, the tech giant has been found liable for violating antitrust laws by using its dominant position in the search engine market to stifle competition. This ruling could have big implications for Google's business practices and the broader tech industry. This is arguably one of the most important legal challenges to Google's market power and may lead to significant changes in how the company operates.

How Khosla Delivered $10 billion in profits from '88 to '98

Imagine being the underdog going toe-to-toe with a giant like Intel. That’s exactly what Vinod Khosla did in the late 1980s with NexGen, a tiny startup facing off against the computing titan.

Despite being told it was a "bad idea," Khosla's sheer audacity led to one of the most extraordinary wins in venture capital history. He didn’t just compete; he outmaneuvered Intel by reverse-engineering their technology and even filing patents to block their progress. It’s a David vs. Goliath story that underscores how boldness and a bit of naivety can lead to monumental success. His legendary streak between 1986 and 1998 while at Kleiner Perkins involved some of the best-performing investments in history, including NexGen, Juniper Networks, Cerent, and Siara Systems, turning millions into billions. Khosla's strategy often involved betting against industry giants, spotting super-trends early, and relying on connections with brilliant people. His journey is about bold decisions, strategic insights, and surrounding oneself with smart individuals.

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Stay Resilient

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​Boom time startups vs Gloom time startups

Starting a company during a recession might seem daunting, but it can actually offer unique advantages. In boom times, startups face intense competition, higher costs, and pressure for rapid growth. Conversely, "gloom time" startups benefit from less competition, more thoughtful investor relationships, and the ability to build strong business fundamentals. Founders who thrive in slower markets can lay the groundwork for long-term success, capitalizing when the next boom inevitably arrives.

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How Wayfair reached $500M ARR.

In the early days, Wayfair, originally known as CSN Stores, operated over 200 niche websites, each dedicated to specific furniture categories. This "divide and conquer" approach allowed them to dominate search engine results by targeting long-tail keywords and building topical authority in each niche. This strategy was key to their growth, enabling them to bootstrap their way to $500M in annual revenue without major funding. However, changes in Google's algorithm eventually led them to consolidate into a single site, rebranding as Wayfair.
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You Can Always Pivot (PIVOT, PIVOT!)

G.S.P.O.A.T - Greatest Startup Pivots Of All Time. This is your reminder that you don't have to get it right the first time. You never had to. Great post by Kevin Jurovich and graphic from Lenny Rachitsky.​

117 Pages of Deep Insights from FT Partners

​Highly recommend you check out this report (when you've got a few spare minutes) The quick spoiler is that things are looking up and to the right for FinTechs in many respects, as we've shifted into a new quarter and new year.

Recent Cirrus Transactions & Term Sheets

Our Visit To The Market

U.S. inflation rose slightly in July 2024, driven by higher housing costs and rising gasoline prices. The Consumer Price Index (CPI) increased by 0.2% from June, maintaining an annual inflation rate of 3.2%. This slight uptick follows a period of cooling inflation, prompting concerns about the Federal Reserve's ongoing efforts to control price increases through interest rate hikes.

The Federal Reserve's analysis of the U.S. labor market remains resilient. They are closely monitoring labor trends to determine the future course of monetary policy, as the strong job market complicates their efforts to bring down inflation. But, they are still balancing a tightrope between maintaining low unemployment and controlling inflation, without triggering a recession.

Still not a soft landing...but not a hard landing either.

Fresh Fundings 🥧

Notable Equity Rounds from big to small

​Capitalize, a digital platform that helps users manage their retirement accounts, has raised $19 million in Series B funding to enhance the adoption of digital rollovers. The round was led by Canapi Ventures and saw participation from previous investors. The funding will be used to expand Capitalize's services, streamline its platform, and increase awareness of the importance of managing retirement accounts efficiently. They aim to accelerate the shift towards digital solutions for retirement account rollovers.

​AI code review startup Coderabbit has raised $16 million in funding to help developers debug code more efficiently. The funding round was led by Unusual Ventures, with participation from additional investors. Coderabbit wants to leverage AI to streamline the code review process, making it faster and more accurate, ultimately reducing the time developers spend on debugging. The startup plans to use the funds to expand its team and further develop its AI-powered tools.

​Ion Protocol, a decentralized finance (DeFi) infrastructure project, has secured $4.3 million in funding led by Nucleus Capital. The funds will be used to expand Ion Protocol's offerings, which focus on providing secure and scalable solutions for DeFi applications. The platform will enhance interoperability between different blockchain networks and offer new financial products within the DeFi ecosystem.

Notable Credit Transactions from big to small

​KeyBank expands Trinity Capital's credit facility to $440M, which expands the original credit facility from $350 million to $440 million in commitments and includes an accordion feature, pursuant to which the Company may increase the size of the credit facility to an aggregate principal amount of $690 million. The expansion increases the diversified group of lenders to 11 banks. The amendment extends the maturity date of the facility to July 27, 2029 and broadens Trinity's borrowing capacity by providing a variable advance rate of up to 62% on eligible first-lien loans (including equipment finance loans) and up to 42% on eligible second-lien loans.

​Great Rock Capital closes $50MM in debtor-in-possession facility to Basic Fun! This will provide the company with ample liquidity to support their ongoing business operations, as they restructure the company’s balance sheet to support future growth.

​Second Avenue Capital Partners closes $15MM revolving credit facility for Dover Saddlery, which will support Dover Saddlery’s strategic growth initiatives, strengthen its ability to optimize inventory management, and underwrite improved operational efficiencies.

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Until our next flight,

Ryan, Sutheshna & your friends at Cirrus​

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