State of the Venture Debt Market and Outlook for 2025
As of March 2025, the venture debt market continues to experience rapid growth, fueled by evolving financing needs, technological advancements, and a dynamic economic landscape. According to Statista, the U.S. venture debt market is projected to reach $27.83 billion in 2025, with traditional venture debt accounting for approximately $23.94 billion of that total (Statista). This growth reflects an increasing demand for non-dilutive financing among startups and growth-stage companies seeking capital without giving up equity. Startups are increasingly turning to venture debt as an attractive alternative to equity financing, particularly in capital-intensive sectors such as biotechnology, artificial intelligence, and climate technology.…