Stifel Financial Corporation · NYSE:SF
Stifel Financial — Debt Investor Presentation (May 2025)
22 slides from Stifel Financial's debt investor presentation, May 2025
Slide 1: Stifel Venture Banking Guide to Venture Debt
Stifel Venture Banking Guide to Venture Debt May 2025
Slide 2: Get to Know the Strength of Stifel
Get to Know the Strength of Stifel About Stifel Financial Corp. (NYSE: SF) FOUNDED 9,000+ $31 Billion in #1 in Equity Deals #3 in Managed Growth via M&A: 1890 Associates Bank Assets Under $1 Billion Venture Capital- Backed IPOs2 Thomas Weisel Partners, KBW, Barclays Wealth and Investment in St. Loui
Slide 3: Wealth Management for Founders
Wealth Management for Founders Founders are experts in their business, but often not in personal finance. Our Wealth Management1 platform provides the advice and expertise you need to navigate your personal finances and future wealth events. Banking Planning1 Investing1 Private Banking Services Your
Slide 4: The power of our people and platform
The power of our people and platform Industry-focused, full-service, global Platform Full-service investment bank investment banking History 20 investment banking acquisitions since 2005, including Thomas Weisel Partners, KBW, Eaton Partners, Mooreland Full-service investment banking product portfol
Slide 5: Notable Transactions: most active technology investment banking team
NOTABLE TRANSACTIONS The most active technology investment banking team in the world, leveraging the firm’s full resources across M&A, capital markets, and other banking teams 2013 – 2023 YTD Tech M&A Deals under $1 billion1 319 Morgan Stanley 296 Jefferies 263 Raymond James 240 William Blair 239 J.
Slide 6: Stifel Venture Banking: The right platform for Tech Founders and Funders
Stifel Venture Banking The right platform for Tech Founders and Funders Stifel Financial Corp. (NYSE: SF) 135-year-old Global Financial Services firm – a diversified business with local resources and international reach, >$8.6 billion market cap (12/31/24) Wealth Management, Investment Banking, Comm
Slide 7: Deep Sector Expertise and Broad Market Coverage
Deep Sector Expertise and Broad Market Coverage Experience and Commitment to the Innovation Ecosystem Deep Sector Expertise with Enterprise Software Coast-to-Coast Coverage Fintech Frontier Tech Consumer Healthcare Climate Tech
Slide 8: Topics of Discussion
Stifel Venture Banking Guide to Venture Debt Topics of Discussion • What is venture debt? • Why is it a hot topic? • Who are the players? • Who is a good candidate? • How does it work? • What to look out for? • Ideal capital strategy in this environment • Q&A
Slide 9: What is Venture Debt?
Stifel Venture Banking Guide to Venture Debt What is Venture Debt? • Non-dilutive capital in the form of debt financing that is in lieu of, or complimentary to, an equity investment • Companies having a debt facility in place gives flexibility and additional liquidity cushion to cash burning compani
Slide 10: Why talk about venture debt?
Stifel Venture Banking Guide to Venture Debt Why talk about venture debt? • Challenging equity funding environment due to macro factors, missed plans, and valuation overhangs leaves significant demand for capital vs current supply from equity investors • Having a facility in place allows a company t
Slide 11: Lending Universe
Stifel Venture Banking Guide to Venture Debt Lending Universe • Lending universe is comprised of both banks and credit funds • Banks: also want banking relationship, cheaper pricing, more structure, focused on long- term deposit opportunity • Funds: more flexible, equity-like capital. More expensive
Slide 12: When should a company add venture debt?
Stifel Venture Banking Guide to Venture Debt When should a company add venture debt? • Concurrently or right after an equity raise • Why: Fresh diligence materials, external validation, lots of cash, and market momentum leads to best and most flexible terms and pricing • Between equity rounds to ext
Slide 13: Venture Debt Paired with Equity Round Example
Stifel Venture Banking Guide to Venture Debt Venture Debt Paired with Equity Round Example • Example below outlines total capital raised between (i) equity only and (ii) equity +25% venture debt at each funding round • In comparable scenarios, early investors and management retain meaningful equity
Slide 14: What do lenders look for? Am I a good candidate?
Stifel Venture Banking Guide to Venture Debt What do lenders look for? Am I a good candidate? • Unlike leveraged loans, venture lenders are not underwriting to cash flows of a business but instead to likelihood of companies’ future ability to raise capital or maintain investor support • Underwrite t
Slide 15: Structures of Venture Debt
Stifel Venture Banking Guide to Venture Debt Structures of Venture Debt Non-Formula Recurring Revenue Gross Profit Line of ABL Revolver Facility Type Term Loan Revolver Revolver Credit Asset-based credit line Runway extension, Runway extension, Finance CAC/Growth Finance CAC/Growth Spend Purpose sec
Slide 16: Term Loan vs Revolver/Line of Credit
Stifel Venture Banking Guide to Venture Debt Term Loan vs Revolver/Line of Credit Term Loan Revolver/Line of Credit Benefits Benefits • Longer term capital commitment and payback period up to 48 months • Flexible financing, with ability to draw up and down on facility as needed • Large up-front avai
Slide 17: Key Structural Elements to Consider
Stifel Venture Banking Guide to Venture Debt Key Structural Elements to Consider • Availability • How much is available at close. Does this amount scale up as the business grows? • Draw period/maturity • How long do I have to use the debt facility? When is the maturity date? Can this be extended? •
Slide 18: What does a process look like?
Stifel Venture Banking Guide to Venture Debt What does a process look like? CLOSING & TRANSFERRING INITIAL MEETING & DUE UPSIZING AND RENEWAL TERM SHEET ISSUED LEGAL DOCUMENTATION OF BANKING SERVICES TO DILIGENCE OF LOAN STIFEL BANK After Stifel Bank initial introduction to Indicative Term Sheet is
Slide 19: Best Practices
Stifel Venture Banking Guide to Venture Debt Best Practices • Even if you don’t need it, having a debt facility or capacity in place provides meaningful flexibility for a cash burning business • Public SaaS profiles have debt to equity ratios of ~20–50%+ • Aiming for 20–30% of debt in capital stack
Slide 20: Startup Solution – More Perks
Stifel Startup Solution – More Perks Banking Services Bundle for Founders EARN HIGHLY COMPETITIVE RATES ON YOUR STIFEL BANK DEPOSITS VIA ICS®1 ICS offers access to multi-millions in aggregate FDIC protection per account ownership category across network banks in one secure and convenient account. Fu
Slide 21: Alan Faulkner, Scott Macolino
Alan Faulkner Scott Macolino Managing Director, Managing Director/Investments, Raleigh, North Carolina Atlanta, Georgia (919) 645-5904 (404) 231-6583 afaulkner@stifelbank.com scott.macolino@stifel.com One Financial Plaza | 501 North Broadway | St. Louis, Missouri 63102 | (866) 303-8003
Slide 22: IntraFi deposit placement disclosures
Deposit placement through an IntraFi service is subject to the terms, conditions, and disclosures in applicable agreements. Deposits that are placed through an IntraFi service at FDIC-insured banks in IntraFi’s network are eligible for FDIC deposit insurance coverage at the network banks. The deposi
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