News & Guides

Starting an e-commerce business is one of the most exciting experiences an entrepreneur can go through. However, finding the right path to success can be difficult, especially in the early stages of growth. With so many voices online telling you how to run your company, it’s helpful to cut through the noise and get straight to the signal. Here are some key insights from the founders we’ve worked with who found success online.

E-commerce sales have seen a steady increase since 2020, and more people than ever make their purchases online. The marketplace became more crowded. Advertising became louder. Newer brands and businesses that do not have the marketing budgets of established brands often struggle to cut through the noise and get their messages heard by the right people.

Capital funding is the money that lenders and investors give to a business to care for its needs. A company’s capital includes both loans (debt) and stock (equity). Debt and equity are very different types of capital funding. Lenders may provide money for needed infrastructure and growth projects, but expect the loan and interest to be paid off in a timely manner. In contrast, investors buy shares of the company and expect that those shares will increase in value. Both strategies provide the opportunity for new businesses and established businesses alike to obtain working capital in order to meet key objectives. However, equity will take a piece of ownership away from founders and management while debt will not.

Welcome to the second installment of Debt Financing 101. Last time we learned the ins and outs of an Asset Based Loan. Today we will take a closer look at what exactly equity financing is and where it falls in what we call the “capital stack.”

This week we sat down with Jeff Hansson, Co-Founder & CEO at Scout Distribution, to learn more about the reshaping and disruption of the craft beverage distribution space. Prior to Scout, Jeff was part of the team that successfully scaled and sold Saint Archer Brewing Company. We’re incredibly excited to be working with Jeff and the team at Scout this year.