The Nova Cofoundery SEIS & EIS Fund
The fund invests into qualifying UK early stage startups which are generated through a venture building model. Built Ventures has a core venture building partner – The Venture Studio, which takes its founders from an initial idea to discovering its market and building the business. The Venture Studio builds a dedicated team around startups which explores, validates & scales founders and their ideas. The team includes software and hardware engineers, marketing and finance specialists, designers, project managers, and others as needed.
The Venture Studio is a venture builder which specialises in building from the ground up early stage, EIS & SEIS eligible technology businesses which have the potential for high growth.
What makes it unique is it’s systematic and risk mitigation approach to supporting founders and their startups. They do this through a tried and tested method in building and scaling companies providing the founder with its first core team to work directly on the business. The Venture Studio’s allows for an eco-system where founders harness the expertise of a team who bring unparalleled knowledge and support to them as individuals and to their company.
The Venture Studio and Built Ventures share the same belief that venture building is the secret sauce to creating successful startups and just providing capital is not enough.
Investment Criteria
The investment strategy of the Nova Cofoundery SEIS and EIS fund is for subscriptions to be invested in a diversified portfolio of a minimum of 10 investee companies that exhibit some or all of the following qualities:
- Significant market potential with clear and demonstrable consumer or commercial need or demand.
- A problem originated solution that has the potential to create new market segments or displace current market offerings.
- Companies that utilise a technology-derived platform and/or an innovative approach to meet a newly-identified or existing market or consumer demand.
- Knowledge-intensive opportunities that possess a clear and realistic path to the delivery of a minimum viable product or prototype.
- A clearly defined strategy aimed at creating and protecting intellectual property.
- Passionate, energetic and experienced founders.
- A clear exit strategy to be implemented within 4-5 years with an alignment of founder interests with shareholders.
Summary
| Fund Manager: | Built Ventures |
| Tax Efficiency: | SEIS & EIS |
| Sector Focus: | Technology |
| Stage Focus: | Pre-Seed and Seed |
| Target Portfolio Size: | 10-30 companies |
| Minimum Subscription: | £10,000 |
| Closing Date: | Currently closed |
| Website: | The Nova Cofoundery SEIS & EIS Fund |
Pros & Cons
Pro: Companies the fund invests in benefit from the network and experience of the fund managers who were successful entrepreneurs. Companies pay no fees.
Con: The performance fee of the fund is higher than elsewhere combined with having a lower hurdle rate.
Fees
| Full initial fee: | nil |
| Annual management fee: | nil |
| Annual custodian fee | 1% |
| Dealing fee: | nil |
| Performance fee: | 20% (in excess of 150% of the funds invested) |
Investee company fees
| Corporate advisory and arrangement costs: | up to 5% of funds invested in the Investee Company |
| Investor marketing fee: | up to 5% of funds invested in the Investee Company |
| Dealing Fee: | 0.25% of the funds invested to purchase the shares in the investee company and of the proceeds of sale of shares remitted back to the investor |
| Custody Fee: | 0.35% of funds invested into the company |
How does SyndicateRoom's Access EIS Fund compare?
By comparison, SyndicateRoom's Access EIS fund builds investors a large portfolio of 50+ companies across all sectors, co-investing with experienced angel investors who have an average IRR of 42%. Our model is based on our proprietary analysis of the UK startup market, which showed that on average, the market grows by 28% each year. With large portfolios, and a large network of angels providing access to the best deals, earlier, we aim to replicate that annual growth for our investors while mitigating risk. This data-driven approach aims to work around the limitations of a single fund manager attempting to pick winners.
Our minimum investment is £5,000.
| Fund Manager: | SyndicateRoom |
| Tax Efficiency: | EIS |
| Sector Focus: | Sector Agnostic |
| Stage Focus: | Early-stage |
| Target Portfolio Size: | 50+ companies |
| Minimum Subscription: | £5,000 |
| Closing Date: | Evergreen |
| Website: | Learn more about the Access EIS Fund |
Are you the fund manager? Email [email protected] with any comments or amends.