The report highlights the evolution of lending to European technology companies, with a shift towards a healthier balance between debt and equity. The cost of capital between debt and equity has increased, leading to more growth businesses accessing different credit options. The report also notes the emergence of multiple tech hubs in Europe and the changing nature of the lending landscape, with a more diversified range of lenders including traditional banks, private debt funds, and fintechs focused on ARR-linked lending to early-stage startups. The report concludes that technology is a must-have for businesses, and the end of low-interest-rate policies and contrasting central bank balance sheets mean that the environment is changing, requiring businesses to adapt.
