EncompaaS

EncompaaS's Multi-Drawdown Strategy That Unlocked $2M+ in Capital Without Dilution

For scaling enterprise software companies, growth rarely shows up as neat, monthly revenue. Instead, it comes through large enterprise contracts, paid in stages and often months after the deal is signed.

EncompaaS knows this model well. As an enterprise compliance start-up with an AI data platform that helps the world’s most regulated organisations govern, prepare and enrich data for the AI era, EncompaaS operates on an enterprise contract model that creates a unique capital cadence. Revenue arrives in large, spaced receipts well after contracts are signed.

Rather than letting this timing gap slow execution, EncompaaS chose to access the capital it’s already accruing through Australia’s Research and Development Tax Incentive using R&D loans from Kashcade and putting it toward working capital today.

Across FY25, EncompaaS accessed over $2 million of its future FY25 R&D refund with Kashcade. It did this across eight monthly drawdowns, quickly and simply reloading the company’s cash balance roughly every six weeks.

R&D Loan Amount Accessed $2 million

Industry SaaS

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About EncompaaS

EncompaaS is an AI data readiness platform that helps highly regulated organisations govern, prepare, and enrich data so it can be confidently used for analytics, compliance, and next-generation AI applications. Its software automates discovery, classification, governance, and enrichment of structured, unstructured, and semi-structured data, turning fragmentation and risk into high-quality, AI-ready foundations.

The platform enables organisations to automate compliance, improve data quality, and accelerate analytics and automation initiatives across cloud, hybrid, and on-premises environments, all while maintaining strong governance and risk mitigation.

This makes the EncompaaS solution indispensable for large enterprises contending with regulatory requirements, privacy obligations, AI readiness, and complex data estates.

The challenge: matching capital rhythm to enterprise growth cycles

Enterprise software companies in regulated markets often face a dilemma tied to revenue timing. After winning major contracts, cash receipts can lag implementation milestones by months, or fall on a single, annual cadence. Meanwhile, R&D and product roadmap investments must continue uninterrupted every month.

Throughout FY25, EncompaaS was scaling product capabilities and supporting growing government and enterprise demand across multiple markets. While revenue momentum was strong, leadership recognised that relying on large, irregular receipts or annual tax-time events introduced unnecessary timing friction into decision-making.

Instead, EncompaaS took a deliberate approach: treating its future R&D Tax Incentive refund as a strategic funding source that could be accessed progressively to support steady execution.

Not as a stopgap. Not as a reaction. But as part of a designed capital mix.

A multi-drawdown funding strategy aligned to execution

Rather than treating R&D funding as a one-off inflection point, EncompaaS structured its approach to allow multiple drawdowns over the course of the year.

Across FY25, EncompaaS executed eight Kashcade drawdowns, drawing a total of over $2 million against its projected R&D tax incentive refund for the year. This provided a predictable, non-dilutive source of capital to support growth through the year.

That funding was used to:

• Accelerate the research and development of its AI capabilities
• Expand enterprise sales and deployment functions
• Support proof-of-value engagements and onboarding with large, regulated customers
• Defer the next equity capital raise until several imminent deals converted into ARR

A funding partner built for disciplined execution

The highly experienced team at EncompaaS takes a careful, intentional approach to their financing, and that’s why they chose to use R&D-backed funding.

Kashcade’s R&D loan facilities are purpose-built to help innovation-led companies convert future claimable R&D tax incentives into working capital that supports growth without increasing equity issuance or constraining runway.

"R&D-backed funding is a deliberate part of our capital mix. It gives us flexibility, preserves equity, and supports consistent investment in the areas that matter most to our roadmap and customers. Kashcade’s speed and ease of execution have made them a strong long-term financing partner for us” said EncompaaS CFO, Khalid Ahmed.

Kashcade CEO Alex Simmons noted that multi-drawdown usage reflects how high-growth technology companies really operate.

"Companies with long enterprise sales cycles and high upfront investment requirements benefit from funding that aligns with execution phases, not just one point in time” Alex said.

‍The takeaway for scaling founders

Most companies facing ongoing expenditure requirements benefit most when R&D funding is treated as a regular, predictable source of working capital, more than a once-a-year event.

By using R&D loans across multiple drawdowns, companies can access capital progressively through the year, reinvest it into eligible R&D, and in doing so grow the size of the R&D Tax Incentive they ultimately accrue. This creates what Kashcade refers to as the R&D Flywheel: earlier R&D investment increases the refundable position, which supports further drawdowns and ongoing reinvestment.

For founders, this approach:

• creates steadier cash flow 
• supports continuous R&D and product velocity
• preserves equity
• aligns funding with execution milestones

The advantage isn’t just faster access to capital. It’s structuring funding in a way that compounds innovation and strengthens the business over time.