🎉 Exclusive-Grammarly secures $1 billion from General Catalyst to build AI productivity platform https://t.co/35MYRd5f8A @Reuters #AI

Ian Kar@iankar_

10 months ago

Interesting—Grammerly raised this from General Catalyst's non-dilutive capital fund, used for sales & marketing & customer acquisition. GC doesn't get a Grammerly stake and gets paid back with a cut of revenue. GC's CVF is a great option for late stage companies—gives you the https://t.co/tDBTynj67n

Sheel Mohnot@pitdesi

10 months ago

This isn't equity. It's from GC’s Customer Value Fund: non-dilutive, revenue-based financing... like a Mr. Wonderful deal: they get a cut of revenue until a cap is hit. Can be better than equity for funding CAC if you’ve got a proven payback model and you don’t want to dilute. https://t.co/guRh9q0ZRz