River Capital Finance announced the launch of River SaaS Capital, a company specializing in debt financing options for software-as-a-service (SaaS) companies located in the U.S.

“With recent cloud based businesses growing at a rate of 36% compound annual growth rate, we realized that this is an emerging market that we need to be a part of,” said River SaaS Capital President Matt Kennedy. “I reached out to some of my peers with extensive technology and finance experience, developed a business model and created the business. Our portfolio will consist of SaaS based companies who are looking for an alternative means of financing that differs from venture capitalists and banks. We have been formulating this idea for the past two years and are very happy to now finally go to market.”

River SaaS Capital’s focus will be on the stability of the candidate company’s average monthly recurring revenue (MRR) and its ability to generate positive cash flow. Unlike venture capital funds, River SaaS Capital will offer finance packages that do not demand equity in the SaaS business. River SaaS Capital also will offer more flexible credit lines than traditional banks.

River SaaS Capital will be located in Westlake, OH.