Silicon Valley Bank Overview June 10, 2013

SVB :3 (WHITE) Silicon Valley Bank Dedicated to the Innovation Economy Partner with entrepreneurs, innovators & investors to move bold ideas forward!

SVB :3 (WHITE) Should I raise: venture debt? -How does venture debt work? -Venture debt is a form of debt financing for venture equity-backed companies that lack the assets or cash flow for traditional debt financing, or that want greater flexibility. -Compliments equity financing; generally structured as a three-year term loan (or series of loans), with warrants for company stock. -Typically, venture debt is senior debt that is secured by a company’s assets or by specific equipment. Overall, it is a form of “risk capital” that can be less costly than equity. -Who is a good fit to raise venture debt? -Innovative tech companies with strong management teams who have raised a large Seed or Series A round with reputable investors. Venture debt allows startups to achieve more progress ahead of the next valuation event, or to increase the certainty of reaching such milestones, while minimizing the dilution. Can be arranged fairly quickly, reduce dilution, extend runway, or accelerate growth. -Who is not a good fit? -Non-tech companies and those short on cash are likely not a fit. -Best time for venture debt is when you don’t need it – at/after VC round. 3

SVB :3 (WHITE) How do I raise: venture debt? -How do I find the right banks? -Leverage your network. Ask for referrals from your peers, mentors and investors. Know the differences in the product and service offerings of each bank -What do you look for in entrepreneurs? -Serial entrepreneurs with a track record of success, strong management teams, and the ability to execute. -Companies that have reputable investors and well-known funds that offer more than $. Smart money is the best money. -How can I successfully pitch you? -Be prepared to present the same information you would to an investor along with monthly historical financials, projections and investor capital tables. -Be the expert in the room. 4

SVB :3 (WHITE) Silicon Valley Bank is the most sought after Bank for Technology & Life Science Companies Experience + Knowledge  We work with more Startups than anyone else 35,000 + startups in 31 years  Last year alone we added 2,500 startup clients  SVB is the bank for 850+ Venture Capital and Private Equity clients globally Connections + Guidance  64% of U.S. venture backed companies that completed an IPO in 2014 are SVB clients  50% of all venture capital-backed tech and Life science companies in the U.S. are SVB Clients  70% of CNBC’s Top 50 Disruptors in 2014 are SVB clients  40% of the companies in the Forbes Tech 30 under 30 list in 2014 are SVB clients

SVB :3 (WHITE) Select Mid-Atlantic Regional Clients Nextgen regenerative medicineBusiness process management solutions Telemedicine video solutions E-prescribing & Health ITEdtech Life Skills Certification Interactive Patient Care solutions Digital verification network Multimedia financial services Energy consumption platform Real-time location intelligenceCompetitive Intelligence for Digital Marketers Data visualization

Megan