The structure and federally regulated nature of traditional banks greatly inhibit their ability to work with new and innovative businesses. Those few banks which do may require that accounts be moved over or impose a number of additional financial covenants. In short, banks are simply not designed for that market and look at risk in a different, more fundamental way.
Conversely, Hercules is specifically built to work with companies that may not yet have a track record or even steady revenue. Rather, we work to understand the businesses of our portfolio companies and the viability of their long-term vision.
When considering your options, remember that the interest rate is just one of several components to be considered when determining your cost of capital.