GUARDD Expands to Provide Secondary Trading Compliance for Fractionalized Venture Debt

Secondary trading of venture debt is on the horizon. Venture debt mainly provides funding to high-growth startups and technology companies. It is typically anchored by venture capital, private equity, or financial services firms. Venture debt provides investors with a combination of fixed income and equity return, with annual cash distributions.

"It makes up about 25 percent of venture capital funding in the U.S.," said Sherwood Neiss, CEO of GUARDD. "By fractionalizing a venture debt fund and enabling secondary trading, we expect this asset class to grow."

Fractionalizing venture debt is on the horizon. Lower minimums and the potential for liquidity means more investor interest and capital.

GUARDD works with Alternative Trading Systems (ATSs) to enable secondary trading by publishing company and financial disclosures for private companies in a nationally recognized securities manual. With this latest expansion, GUARDD can now provide compliance reporting for fractionalized venture debt offerings.