Investor Profiles: Paul Ratner

At Wisdom Partners, we’re committed to providing founders with essential insights from industry leaders to help them navigate the complexities of entrepreneurship and investment. In our latest investor profile, we are excited to introduce Paul Ratner, Vice President at Marble Bridge, who shared his perspectives on alternative capital solutions for growing businesses, particularly how Marble Bridge operates at the intersection of investment and lending.

The First Impressions: Beyond Equity

What makes you different from traditional investors?

When they think about getting capital, most founders only consider equity-based investments. However, Marble Bridge operates in a different space—offering a unique funding model that bridges the gap between traditional equity investors and lenders. Instead of requiring founders to give away equity, we offer a flexible financing solution that allows founders to maintain control of their companies while still accessing the growth capital they need.

Can you explain your business model?

Marble Bridge provides what’s known as factoring or asset-based lending (ABL). We help businesses that need to manage their cash flow by advancing funds based on their receivables. Essentially, we purchase the receivable, giving them cash upfront, and when their customer pays, we collect the payment. It’s especially helpful for businesses that are generating revenue but don’t yet meet the stringent requirements for traditional bank loans and don’t want to give up equity. Our model allows companies to scale faster by addressing their immediate cash flow needs without the dilution that comes with equity investments.

What makes a company a good fit for MarbleBridge?

We primarily work with B2B companies that are generating revenue but have a gap between their sales and the cash they need to fulfill their next order. If a business is turning down sales because they don’t have the cash flow to support it, that’s when we can step in. We fund businesses from $5,000 up to $5 million, so whether you’re just getting started or scaling quickly, we can help. Our clients range from businesses that have just made their first dollar to those generating up to $60 million in annual revenue.

The Importance of the Founder

What are the most common challenges you see in businesses seeking funding?

Cash flow is often the biggest hurdle. Many of the businesses we work with are growing rapidly, and that growth puts pressure on their payroll and supply chains. For example, if a business grows from $100,000 in monthly revenue to $1 million in a few months, it suddenly has a lot of cash tied up in materials and payroll, but its customers may not pay for 30 to 90 days. That’s where we come in. We bridge that gap, allowing them to continue growing without missing opportunities due to cash shortages.

What’s your advice for founders considering growth capital?

I always tell founders to know their gross margins. If you’re going to take on debt, you need to make sure your gross margin is high enough to justify it. For example, if your gross margin is 40%, you can afford the cost of borrowing because it won’t eat up all of your profits. But if your margins are lower, you might find yourself constantly chasing cash, which can be a dangerous cycle. It’s about knowing when to use debt versus when to raise equity, and finding that balance that helps you grow sustainably.

What is a common myth about the venture or investment world?

A lot of founders think that taking on debt will hurt their chances of raising equity in the future, but that’s not necessarily the case. In today’s market, we’re seeing that many businesses benefit from using debt strategically to bridge gaps between funding rounds. It allows them to maintain more control over their company and, in some cases, raise equity at a higher valuation because they’ve grown without diluting ownership prematurely.

Personal Insights

What’s one fun fact or surprising thing about you?

Before I entered the finance world, I worked in pro sports for almost two decades, including time with the Golden State Warriors and the PGA Tour. I started out thinking I wanted to be a pro sports announcer, but after working in sales and managing teams, I realized I enjoyed working with people and helping businesses grow more than the broadcasting side of things.

What’s the best way for people to reach you if they think MarbleBridge might be a good fit for their company?

You can reach me via email at pratner@marblebridge.com, or connect with me on LinkedIn. I’m always open to talking with founders and businesses that need help navigating their financing options. Just mention that you read this blog, and I’d love to hear more about your business and see how we can help.

For companies looking to grow without giving up control, MarbleBridge’s unique model offers a flexible, non-dilutive solution. Stay tuned for more profiles as we continue to bring you closer to the minds behind innovative investment strategies.