Spring Capital

Spring Capital provides subordinated debt with an equity component, typically through detachable warrants or a direct minority equity investment. The debt carries a five-year fixed rate with no amortization. Investment sizes range from $2 million to $20 million.

Spring Capital's fourth fund operates as a Small Business Investment Company licensed by the US Small Business Administration. The SBIC license provides access to federally guaranteed leverage, lowering its cost of capital and enabling it to offer patient, flexible terms to smaller companies. It also subjects the firm to SBA regulations on investment size and portfolio composition.

Spring targets established businesses with revenue typically between $10 million and $150 million that have profitable, predictable financial performance. Companies usually have a proven management team with significant equity stakes and strong, defensible market positions. The firm will consider later-stage venture opportunities that can service debt.

Spring Capital invests directly into operating companies. The firm provides junior capital solutions — sub debt and minority equity — for growth, acquisitions, management buyouts, and recapitalizations. It does not market itself as making commitments to external funds.

Spring describes itself as a generalist and lists positions across manufacturing, logistics, healthcare services, food, IT services, franchising, and specialty retail. The firm has not published explicit sector exclusions, but its portfolio suggests limited exposure to pre-revenue biotech, pure-play software startups, and real estate development.

Spring targets growing small and medium-sized businesses throughout the United States. Current portfolio companies are located in over 20 states, with notable concentrations in the Mid-Atlantic, Midwest, and Southeast, and select positions on the West Coast and in Texas.

Spring positions its capital as less dilutive than pure equity and more flexible than senior bank debt. The firm states that its principals have decades of experience across venture capital, commercial banking, investment banking, and operating roles, and that they tailor investment structures to each company's needs rather than applying a standard term sheet.