A Short Guide to Venture Capital
Venture capital – often referred to as ‘VC’ – remains one of the most popular sources of financing for startups. With venture capitalists pouring billions of dollars into early-stage businesses, VC has transformed into a critical part of the startup ecosystem. In this short guide, we’ll touch on the world of venture capital, exploring what […]
Syndicate Investing: Why Angel Investors Are Embracing This Collaborative Investment Strategy
Angel investing is a high-risk, high-reward endeavour. Angel investors must have the expertise and resources to navigate the complex world of startup investing. Syndicate investing offers a collaborative approach that allows angel investors to pool their resources and expertise with others to invest in promising startups. In this article, we will explore the benefits of […]
Crowd Funding vs Angel Investing
Startups have a smörgåsbord of options when it comes to fundraising. Two popular sources of financing are crowdfunding and angel investors. Both provide much needed cash, but they have some important differences. Crowdfunding is a method of raising money from a large number of people, typically through an online platform. Crowdfunding campaigns can be equity-based, […]
Navigating a Down Round: Tips for Startups
As a startup founder, you may have heard the term “down round” before. It’s a funding round in which a startup raises money in a funding round at a lower valuation than its previous round, and it can be a sign of trouble for your startup. But don’t worry – there are steps you can […]
Guide to Venture Capital Funding Rounds
Venture capital funding typically follows a structured progression of rounds, each with a different level of investment and different expectations for the startup’s growth and development. Here are some of the main types of venture capital funding rounds: 1. Pre-Seed Funding Pre-seed funding is typically the first round of funding for a startup, and is […]
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. […]
6 reasons why a VC fund manager should use SPVs
When it comes to investing in early-stage startups, a venture capital fund manager (VCFM) typically pools their investor money into a single entity, known as a ‘fund’. However, there are times when a VCFM may opt to use a special purpose vehicle (SPV), either instead of or in addition to a fund. In this article, […]
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 […]
