How can Angel Investors use SPVs to make Venture Capital investments?
Angel investors can use Special Purpose Vehicles (SPVs) to make Venture Capital investments by pooling capital from multiple investors and creating a separate legal entity to make the investment. Here’s how it works: 1. Pooling Capital The angel investor can bring together a group of investors who are interested in investing in a particular venture. […]
Why startup founders should consider setting up a Founder SPV?
Starting a business is a challenging task. Founders have to grapple with various issues such as product development, customer acquisition, and funding. One of the most pressing issues for most founders is managing their cap table. As a company grows and raises funding from multiple investors, keeping track of equity ownership becomes more complicated. To […]
Why Emerging Fund Managers should start with a syndicate
This article was published on AngelSchool.vc and has been republished on Auptimate.com as part of an ongoing partnership. Raising a fund as a first-time fund manager is a prolonged and time-consuming endeavor. Emerging fund managers also face higher risks compared to established funds. We make the argument that Emerging Fund Managers should seriously consider a two-stage strategy: (i) start […]
What factors to assess when selecting a jurisdiction for a Special Purpose Vehicle (SPV)?
There are several characteristics that can make a jurisdiction a good choice for setting up a Special Purpose Vehicle (SPV): 1. Legal and Regulatory Environment An SPV is often set up to carry out a specific transaction or project, and it is important that the legal and regulatory environment in which it operates is stable […]
5 Key Benefits of Setting Up a Singapore VCC
A game-changing corporate structure was recently put on the map for fund managers in the Asia-Pacific region. In January of 2020, the Variable Capital Companies Act came into force. This forward-thinking piece of legislation exists to boost Singapore’s fund management industry through variable capital companies, otherwise known as VCCs. If you’re unfamiliar with Singapore VCCs, […]
