‼️Problem
One of the main pain points of private credit is time. Space companies run on hardware and capital—yet typical loans can take 1 to 4 months for approval, with due diligence and legal reviews dragging things to a year. Startups and SMBs, who often need to move in weeks, simply can’t wait that long. Asset-backed loans require complex collateral appraisals and security registrations, making private credit even less accessible. This mismatch means breakthrough ideas are stalled, not by technology, but by slow, rigid financing processes that fail to match the pace of innovation.
Other Common hurdles to financing of Space Companies:
Intellectual Property Issues
The Problem of the Location of the Debtor
The Problem of the Location of the Collateral
References:
Francesca Giannoni-Crystal, Asset-Based Financing For Space Activities, 89 J. AIR L. & COM. 33 (2024)
Jack Wright Nelson, NewSpace, Old Problems: Asset-Based Satellite Financing in the Asia-Pacific, Singapore Journal of Legal Studies, (2021) 354–382
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