Tractor Ventures

“I’ve already poured my savings into this startup - do I really have to put my home on the line too?” With Tractor Ventures, it’s a big, friendly nope. 😊 Some traditional lenders love personal or director guarantees; miss a payment and they can chase your personal wealth. That might work for asset‑heavy businesses, but in tech it feels like strapping a parachute made of bricks to your back. At Tractor, we don’t ask for personal guarantees on your personal assets. Every Tractor loan is backed only by a general security agreement (GSA) over the business, registered on the PPSR so we hold first‑ranking security if the company ever goes into administration. Your house, car and holiday fund? Off‑limits. Here’s how Tractor flips the script: 🚫 No personal or director guarantees. Your personal balance sheet stays untouched. 🔒 Unsecured facility. We register a GSA over the company - not your home or vehicle. 🛡️ Founder‑first mindset. You’ve already taken enough risk; our job is to de‑risk you, not pile more on. 🤝 Risk sits with us. We underwrite the business, set a fixed rate, and shoulder the exposure so you can focus on growth - not sleepless‑night liability. Before you sign any loan (including with us at Tractor), ask these five friendly questions: 1. Do you require personal or director guarantees? 2. What assets are pledged as collateral? 3. Can the terms change mid‑stream? 4. What happens if revenue dips temporarily? 5. How quickly can I repay or refinance without penalties? If the answers feel fuzzy, keep shopping. In the end, growth capital shouldn’t add “my personal assets are on the line” to your worry list. With Tractor, the liability stays with the company - right where it belongs. If you’re doing $50k+ in monthly revenue (whether you’re profitable or not), DM me and I’ll get our credit team to run a free assessment so you can see exactly how a fixed‑rate facility would fit your growth plans. Or if you’ve simply got questions, just connect and DM me. :) 

The Cut Through Venture Quarterly Q1 2025 is out! It was a privilege to contribute market insights through the Tractor Ventures lens, collaborating to deliver perspectives grounded in real-time data from our portfolio. Australia’s startup ecosystem has evolved dramatically in the last couple of years, and at Tractor Ventures, we’ve witnessed it firsthand through our lending portfolio. From 2020-2022, hyper-growth ruled— our borrowers’ revenue soared 78% YoY to $545M, fuelled by a VC peak and other macro factors. Startups prioritised scale over profit, with net margins at -17.4%. But by 2023, a cooler market shifted focus to efficiency. Revenue growth slowed to 20.8% in 2024, yet net margins improved to -8.6%, hitting positive 2.5% in early 2025. Founders now seem to balance ambition with discipline, using our capital strategically for sustainable growth. Proud to support durable, profitable businesses in this maturing ecosystem! Thanks for the opportunity Chris Gillings and team.

“Debt feels risky because the true cost keeps moving… right?” That’s what 63 % of founders told us in a fresh survey we ran with SmartCompany - and we get why it sounds scary. But with Tractor Ventures’ non‑dilutive debt capital, the price tag never wiggles. Here’s the reality of our fixed‑rate facilities: 💡 Total cost revealed on Day 1. Borrow $100 K? Pay back $112 K—no surprise fees, no “gotchas,” ever. 📅 Fixed term, fixed repayments. You’ll know the exact number, size, and dates of each instalment before you sign. 🔒 Nothing changes mid‑stream. Rates don’t float, covenants don’t creep, and your personal assets stay off the hook (unsecured lending). So, instead of guessing what capital might cost, you can model ROI with precision: → Aim the funds at revenue drivers like sales & marketing. → Track the lift. → Watch the margin between growth and repayment widen - because the repayment line is flat. If you’re doing $50k+ in monthly revenue, DM me and I’ll get our credit team to run a free assessment so you can see exactly how a fixed‑rate facility would fit your growth plans. No harm in knowing your options, right? :)

Exciting News! We have collaborated with SmartCompany to write an eBook. Attitudes to Debt, How Australian Founders are rethinking business funding. For years, the startup and SME funding landscape followed a familiar playbook: take on debt, seek venture capital, or bootstrap your way forward. Lately, however, Australian founders have been rethinking their approach to funding. To find out how attitudes are changing, SmartCompany and Tractor Ventures surveyed nearly 400 SME owner/operators and startup founders. The results of this survey reveal 29% of owners and founders now prioritise ownership and control when making funding decisions, while 22% focus on minimising financial risk. Only 3% prioritise speed. This ebook unpacks the funding strategies modern SMEs and startup founders are using, explores real-world examples, and offers practical insights to help you make informed decisions when seeking finance. Get your copy here - https://lnkd.in/g2fV47se Great to work with you on this Cassandra Leong, Justine Goss, and Dan Siepen Will Hayward, Ai Mawdsley, Kevin Cooper

In CY2024, the Tractor Ventures portfolio did $639.7M in top line rev! 📈 Companies who borrow from Tractor Ventures have gotten some serious momentum through to their bottom lines over the past few years. Have a read!

The Cut Through Venture Quarterly Q1 2025 is out! We have collaborated to share our perspective based on the live numbers we have access to across our portfolio. At Tractor Ventures we have had a front row seat to the remarkable transformation of Australia's startup and scaleup ecosystem. It's a fascinating shift from hypergrowth to sustainability with a strong focus on increasing profits. Between 2020 and 2022, the startup world was in hypergrowth mode. The focus was squarely on scaling fast, often with little regard for profitability. During this period, total revenue across Tractor Ventures’ borrower base grew rapidly – from $306 million in 2022 to $545 million in 2023, representing a 78% year-on-year increase. Rising interest rates, inflationary pressures, and a sharp decline in venture capital activity (down to US$2.54 billion in 2023) signalled a new reality. Revenue growth slowed significantly, to 20.8% in 2024 (reaching $659 million in aggregate across our portfolio), and founders shifted gears. The conversation turned from “How fast can we grow?” to “How efficiently can we operate?” Our borrowers responded with focus and discipline. Cost-cutting and efficiency gains became priorities. While gross profit margins held relatively stable between 48–49% from 2022 to 2024, the real progress was in net profitability – improving from -15.9% in 2023 to -8.6% in 2024. Founders became laser-focused on fundamentals: unit economics, cash burn, and sustainable growth paths. As lenders, this shift transformed our approach. During the hypergrowth phase, Tractor Ventures supported aggressive expansion strategies. Today, our capital is being used in more strategic ways – bridging short-term operational gaps, funding high-ROI initiatives, and extending cash flow without unnecessary dilution. Early 2025 indicators are encouraging: year-to-date revenue growth is flat, but for the first time in our dataset, net profit margins have turned positive – at 2.5%. Thanks for including us Chris Gillings and team! And brilliant work Ian Kinsley!

Cut Through Quarterly Q1 2025 is live, kicking off the year with a strong showing across the board. Total funding hit $993M across 100 deals, the strongest start since 2022, as investor confidence continued to lift. 🧠⚙️ AI-first startups topped deal count for the first time, with deep tech and science-led companies dominating both funding and volume. Biotech and Medtech led the pack, while Climate Tech and AI fought it out as the most active sectors. 🔍📉 While early-stage and later-stage activity held up well, mid-sized rounds saw a noticeable dip, falling to their lowest levels since mid-2023. Round sizes at all stages surged, with median round sizes hitting all-time highs. Investors reported strong upward momentum in valuations across all round stages. 💡💬 This quarter’s guest contribution comes from Tractor Ventures, unpacking how customers are adapting in a post-peak market cycle. 📣🧪 And 62% of funded startups mentioned AI on their websites... some genuinely, others clearly riding the hype wave. Investors and customers are taking notice. Thanks to our long-time supporters HSBC, Corrs Chambers Westgarth and Vanta, and a big welcome to Rippling and Notion as 2025 supporters. TrueState is also on board as our official AI partner for 2025. We hope you enjoy the report. Download the HD copy at cutthrough dot com

I just can't stop laughing with this bunch. Not even for a moment to pose for a new headshot 🤦♀️ 😂 I honestly think some of them could be stand up comedians. We are all very serious about our mission to unlock growth for founders and there is some serious talent in this bunch, but we make sure we have lots of fun as we go. We got new headshots while we were at _SOUTHSTART and I think our faces say it all with regards to how happy we were to be there and spend some IRL time together. As a fully remote team these times are priceless. Unfortunately Karl Skewes couldn't make it due to the cyclone in QLD at the time 🌪️ (next one Karl) It was so good, we are already planning our next trip in August this year and I can't wait! Thank you for the awesome shots Benjamin Liew and for organising this for us Base Yates!!

I am absolutely buzzing with excitement as I share this update with you!  On March 31st, we wrapped up our very first EOS 90-day scorecard - hitting 103% of our overall team goal. That’s a big deal around here, as it’s our second-biggest quarter in Tractor history - just 6% shy of our all-time record, and we did it with half the team size.   Last year was tough (as I’ve shared before), so we had to dig deep and lean on each other.   Despite advice to re-hire, I stayed firm in believing this smaller, fully aligned team could pull through. And they absolutely did!    More importantly, they say it’s the happiest they’ve felt at work. There’s no doubt in my mind we wouldn’t have achieved all of this without two key EOS Worldwide tools:    #1 Our 90-Day Scorecard - which keep us laser-focused and accountable every quarter.  #2 Our Level 10 Meetings - which give us a structured, efficient way to tackle issues head-on every week.    Here’s a snapshot of what worked well with these new processes - and, just as importantly, what didn’t.    What Worked: 🚜 Individual Goals Aligned to the Team Goal  🚜 Structured Meetings 🚜 Freedom & Flexibility - Because we had a firm structure, people got to work in the ways (and times!) that suited them best 🚜 Real-Time Course Correction - When we were off-track, we saw it early and rallied as a team to fix it.   What Didn’t Work 🚜 IDS (Identify, Discuss, Solve) fizzled - We didn’t have many major “issues,” so we ended up forcing topics like “not being on track to hit our target,” and it felt like a time-waster. Next Steps: We’re replacing IDS with a section on “regrettable losses” (when a customer chooses another option). This is our apex moment - where we learn exactly what’s off with our product, assessment, pricing, or pitch, or perhaps Darragh McDonnell (aka Richard Gere as we like to know him here) didn't charm enough. All important topics to dig into as a team. 🚜 Some goals weren’t truly measurable - They either lacked a clear metric or couldn’t be accurately tracked in 90 days. Next Steps: We’ve fixed it for this new quarter by making sure each goal is SMART (Specific, Measurable, Achievable, Relevant, Time-bound). 🚜 Mismatch of effort vs. goals - A few goals were too big or too small given the time/priority constraints. Next Steps: We’ve rebalanced and reset them for the next 90 days. 🚜 Facilitator fatigue - It felt like I was talking way too much running the meeting which meant I wasn't listening. Next Steps: We now rotate the facilitator role so each team member gets a turn.   We’re not at that 10/10 rating yet, but we’re edging ever closer.    The wins have been huge motivators, and the hiccups have helped us refine our approach. 

It feels so good to put together this comprehensive resource. An ecosystem map specifically for women founders. Starting and scaling a business is tough. As a woman its much much tougher. It would not be a resource if not for all the incredible humans running these organisations to help women start, fund and grow their business. For that we are very grateful. When we first shared it, we uncovered even more incredible resources we didn't know about. So, we have updated the list. If it is still missing something please let me know. Also, if you want to print this map and frame it in your office DM me and I will send you the PDF 😃 Thank you once again for the thoughtful curation of this map Noga Edelstein, Stephanie Palmer-Derrien and Dan Siepen.