Runway Growth Capital and PitchBook Report Record $68.8 Billion in 2025 Venture Debt

Runway Growth Capital and PitchBook announced in a press release the release of their 2025-2026 Venture Debt Review, reporting that U.S. venture debt reached a record $68.8 billion in 2025. The number of transactions remained stable at around 1,000, indicating that growth came from larger and repeat financings rather than an expansion in borrower count.

The report shows that venture debt has become a structural part of the startup financing landscape. Median deal size increased to $5.5 million, while the 75th percentile rose to $27.7 million. Follow-on financings rose sharply, from $4.7 billion across 129 deals in 2024 to $12.3 billion across 156 deals in 2025.

Debt is increasingly being used by later-stage companies with strong fundamentals as part of planned financing strategies. Sectors such as software-as-a-service, health technology, and clean technology saw expanding participation, with debt structures tailored to recurring revenue and asset-backed cash flows.

The report also notes that companies backed by venture debt accounted for 37% of total exit value in 2025, an increase from the previous year. Runway Growth Capital stated that the trend reflects a more disciplined and strategic approach to financing as startups seek flexibility without relying solely on equity capital.