Rayan 🎈

TLDR: EIS should be scrapped as a fund structure but retained for Angel investments by individuals. Alex Chalmers has done all the work which in 10 years I've never got around to doing: why 95% of EIS/VCT funds are bad for our tech ecosystem, rip #startups off, and why as a Founder you should push back against their stupid fees or not take their money. https://lnkd.in/dnq9ZScS

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Founders, If you're in the fundraising game.... You know there's a phase I like to call 'the gap.' It's that tricky period between getting a verbal nod from an investor and actually seeing the funds hit your account. Verbal commitments are great, but they don't always guarantee a closed deal. Here's how I handle this to keep things moving smoothly: Be Prepared to Act Fast: As soon as you get a verbal commitment, make the next steps as easy as possible for your investor. Any delays on your part can open the door for them to reconsider. Set Clear Deadlines: Make sure your investors know exactly when the round is closing. Setting a firm deadline for contributions helps keep everyone on schedule. Keep the Lines Open: Follow up with your investors regularly. Make sure they have all the information they need and gently remind them of the deadlines. And a little tip for peace of mind. Don't count your chickens before they hatch. Hold off on the celebration until the funds are securely in your bank. That's when you know you've really crossed the finish line. ✌️ #venturecapital #vcfunding #entrepreneurship #familyoffice #raisingcapital #fundraising #growth #startups #startupcommunity #startupecosystem #startupfunding

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Every leader should have mentors. Not one, but many! I’ve worked with thousands of scale-up founders over the years. I’ve definitely seen all the common mistakes. But I’m still learning—every day. Being a leader can be a lonely place. You’re expected to have all the answers, but the reality is, many of us face the same challenges, often in isolation. That’s why mentors are so valuable. Having multiple people you can turn to—each with different perspectives and experiences—can make all the difference. No one person has all the answers. No matter how much you’ve achieved, there’s always something to learn from those who’ve walked the path before you. The shared experience and guidance from mentors (and peers) help you navigate the tough decisions and keep growing as a leader. You’re never too experienced to learn.

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Compare this to founders and startups from developing Asia. The avg pre-seed round would be around €100K and Founder's salary would be around €10K PA. Startups with lower burn will be invincible as Innovation and tech tools aren't geo-restricted anymore. #Startups #VentureCapital #Investment #Innovation #Funding

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HNY! Hope everyone had a great break. Quiet on here as head down. Such a lot of exciting things coming up: - More Tools for all scaleups to improve their growth trajectory - More Founders using VenturePath to secure their Series A-B investment rounds - More VCs joining VenturePath's VC Network - More Events (including a VC dinner for 50 on the 22nd and SuperScalers female founders event on the 30th) - More Partners joining our scaleup support ecosystem - More Data to publish on 2024 VC trends for the UK ScaleUp Investment Mission Busy January! We'll share more on these when we have a minute... If you can play a part, as a founder, VC, investor, partner, sponsor, data provider etc., there's still room for a conversation or coffee with you though 😉

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First Priority: Founder First duty: Protect The Founder at Foundership

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Question for all the founders in my network: What tools are you using for your customer waitlists? 💡 I've seen everything from simple one page websites to more developed integrated engagement/management platforms. Keen to know what people think is good! #founders #vc #startup

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In 2019, I led a £9m Seed Round. It was the largest Seed Round in the UK that year. Now... You would expect the usual reasons why we invested so much: 1. A clear story 2. Special founders 3. A large opportunity But there was also something else that was a big reason for why we invested. What was it? The founders were able to hire in some of the best people we had seen. They had already built exactly what this company needed to. They had extreme amounts of success doing it. And now were willing to risk everything to join this tiny little start-up. Funnily enough one of those exceptional hires ended up being the CEO! That’s how good their hiring was. At the end of the day, investors invest into teams. And those teams are the people who are going to be the difference between a successful company or not. So as a founder you have to show investors that you can, will and have hired the best of the best. Because second-rate hires will never cut it. -- P.S. What do you think about team-building and its importance? ♻️ Repost to help a founder in your network

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Taavet Hinrikus and I made the Financial Times Due Diligence email. https://lnkd.in/ez2AuGQx One 'unintended consequence' is that if there is a 45% tax on carry and CGT (raising £40m per year, remember) it for all intents and purposes closes the door on new VCs in the UK. Especially started by teams from non-traditional backgrounds. To meet the GP commit, you need to be already part of the 'wealthy' as you cannot rely on the value you create - nearly half of it will disappear - to fund it. We have both had extremely successful startups which are few and far between. The smaller number of new VCs will therefore more likely increasingly be for people who have inherited the capital or can draw it from their already rich family. Probably not want they have in mind with this policy.

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Numbers & insights from a deep tech venture studio that launched 11 companies (all are active) in the last 7 years, reaching £85M valuation across the portfolio: 1. Post Urban, initially bootstrapped by Luke Robinson, an academic with a PhD in physics from Cambridge, now operates with external funding from a UK-based fund. 2. Launched 5 companies during the first 5 years and 6 companies during the last 2 years. 3. All 11 completed pre-seed rounds; 1 of them got Series A, 2 of them are approaching their Series A. 4. The startups have collectively raised ~£25M in venture capital, in addition to receiving grants. The total valuation of the 11 companies is ~£85M, half of which have not yet undergone subsequent funding rounds. 5. Initial equity splits: the venture builder 20%, CEOs of startups 35% (vests over 4 years), CTOs – 20-25%, employees 10-15%. 6. The initial valuation of startups was £2 million, with £300K invested by the venture builder. The last 2 startups were at £3.5-4M initial valuation. 7. Building deep tech ventures requires significantly higher initial funding because these projects need more time to develop demonstrable products. Two portfolio companies hit £1M in ARR. 8. The venture builder has increased the capital for the last 2 startups to ensure they reach meaningful milestones. The CEOs of the startups were able to secure additional funding through their networks, £350K and £450K, respectively. 9. The deep tech investor pool is smaller than that for sectors like SaaS, which requires a stronger proof of concept and market readiness to attract funding. 10. 3-4 times, potential customers became investors in Post Urban Ventures. This is a great approach because it secures investment and validates the concept by gauging whether these potential customers truly believe in the solution and its market necessity. 11. They don't start with a technology or an idea; instead, they integrate insights about global problems and, by actively engaging with advisory boards, founders, and industry experts, identify pain points and align them with technological solutions. 12. They do not bring universities in as co-founders but source scientists or professors to contribute to research and development. This involves leveraging academic expertise to support the technical aspects of startup projects until a prototype is developed. 13. The studio maintains strong connections with major academic institutions, including Cambridge, Oxford, Imperial College, and UCL, supporting its deep tech focus and facilitating access to new technologies and potential founders. 14. Areas of focus in deep tech: AI (Knowledge Graphs, NLP, DNNs, Computer Vision, Edge AI, Active Learning), Quantum Technologies, Biotech, AgTech, Enterprise SaaS. Watch the full interview to gain insights into the portfolio companies, handling IP collaborations with universities, key challenges, and team construction: https://lnkd.in/dCi7fZ7G

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I've had the great luck to invest in some unicorns at inception. There's not so much you can look for when backing founders that early, but obsession can be spotted early and does play a massive role. In my opinion, our irrational, relentless drive (sometimes without the presence of a clear goal) can be more powerful than intelligence, industry experience, and vision. Thanks to Lisa, I had the honour to discuss my views on investing, my tech ventures, and EWOR with Pádraig Belton from the BBC. Thank you, Pádraig Belton for this fantastic interview. Short teaser below. Full version will be released soon!

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"You have to kiss a lot of frogs... " is something I keep hearing now I'm active sourcing the best start-ups and scale-ups for investors. What this means I have to find and engage with (kiss if you will) a lot of start-up founders (frogs) before I can determine which ones are most suitable for the investors I work with and ultimately most likely to achieve a decent exit and return for those investors and the founders themselves (become princes). Sounds tough, but is it? Yes and no, let me explain: Of course having the tenacity to keep pushing forward on volume with relatively few palatable results can be tough at times, but the bread and butter of engaging with founders is actually one of the joys of what I do. Firstly, I'm very upfront about what the investors I represent are looking for (geography, stage, revenues, segments etc), therefore if they can never qualify we can dismiss this right away and either terminate the conversation or progress it to how I might be able to help in other ways. Secondly, if they are a feasible prospect for future investment but are too early in their journey then it's great to get them on our radar, communicate what they need to achieve if they want to entertain what we can offer and how we might be able to help them reach these goals. Finally, if they are basically ready to go and are a hot prospect then I get very excited and want to connect them yesterday! However this is the point where I become the frog and they are the princess with many other frogs chasing them. How do they know which one of us is the prince who can help them raise on the best possible terms?! It's a very good question, and it's my responsibility to connect them and present the best case for the investors that I represent, which I genuinely believe have a very compelling case given their status as exited founders themselves and their support with the goal of getting the best possible deal for the founders. Ultimately though, it's for the founders to decide what route is best for them to take and their business moving forward, and just with the sourcing piece, someone's frog is another person's prince!

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How do the best entrepreneurs see a future you can’t? Alexa von Tobel, Founder and Managing Partner of Inspired Capital, shares her fascinating journey and insights into venture capital in the latest episode of The Full Ratchet. Alexa, a serial entrepreneur and the visionary behind LearnVest, is now at the helm of Inspired Capital, a $900M AUM venture firm. In our conversation, Alexa reveals what makes a great founder, why some markets are ripe for innovation, and how AI is transforming industries. She also dives into the importance of EQ, strategic thinking, and the future of FinTech. This episode is packed with valuable lessons for investors and entrepreneurs alike. Don’t miss out on hearing from one of the most influential voices in venture capital today. Listen to Episode 441 of The Full Ratchet now! Link to the full episode is in the comment section below.

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🎉 20VC Closes Fund III at $400M to Back Next-Gen Startups London-based venture capital firm 20VC, led by Founder and Managing Partner Harry Stebbings, has closed its third fund at a remarkable $400 million. Known for combining venture capital expertise with a powerful media platform, the firm continues to solidify its position at the forefront of the startup ecosystem. 💰 The Fund Breakdown: - $125M allocated for Seed investments, ranging from $100K to $3M. - $275M dedicated to Series A investments, ranging from $5M to $15M. Backers of the fund include renowned institutions such as MIT Investment Management Company, Horsley Bridge Partners, and RIT Capital Partners plc. 🚀 The 20VC Difference 20VC operates three sub-funds: 20Sales, 20Growth, and 20Product—each supported by top-tier experts from global tech giants. These specialists actively assist portfolio companies in scaling and achieving their full potential. The firm's innovative approach extends beyond traditional VC, leveraging its media platform, which features in-depth conversations with prominent figures from the business and venture capital worlds, fostering a unique blend of investment and insight. 🌟 Key Team Members Harry Stebbings – Founder & Managing Partner Kieran Hill – Partner, Pre-Seed & Seed Paul Bonnet – General Partner, Series A & Growth This latest fund positions 20VC to further support transformative startups, enabling them to grow from the earliest stages to impactful global players. ✅ Looking to raise capital for your #VCfund?   🤝 Need warm #LP introductions?   📝 Selling #secondaries to increase liquidity?   🧐 Looking for co-investments (Series A/Series B)?   ▶ Please use G+QUANT's link for inquiries and fund decks, or send your inquiry directly to [email protected] #VentureCapital #20VC #StartupFunding #SeedStage #SeriesA #VCNews #Innovation #TechInvestments #StartupEcosystem #Founders

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I'm noticing (anecdotally) a nice spike in new startups and businesses being launched over the past few months After a muted 18 months, it's refreshing to see a lot more entrepreneurs taking the plunge. So, in the spirit of paying it forward, here's some honest, hopefully useful, (and sometimes unsaid) tips for anyone just starting up: 1) Nobody cares! Your first shots on goal most likely will not work. You'll feel despondent, maybe even ashamed that people may see you as a failure. At this point remember that nobody cares So, unabashedly pivot as many times as needed, to maybe even wildly different sectors as needed to find what works 2) Your goal should be to make your first dollar ASAP. People pay for things that make them money > save them money > save them time. 3) Guard your equity zealously. IMO, it is better to own 70% of a 1000 crore co, than to own 7% of a 10000 crore co. You are the owner in the former, and board-appointed management in the latter The world is littered with stories of founders ousted by their boards. Take some inspiration from the old family businesses 4) VC is a fantastic source of capital, but that's all. Their incentives are not aligned with yours & they have a fiduciary duty to themselves and their LPs. Your risk parameters are not the same - you aren't playing the same game. Remember that they've bet on multiple numbers at the roulette table, (and taken further insurance with preferred equity terms). You and your employees have all your chips on 1 number. You have a bigger fiduciary duty to yourself and your common shareholders 5) Everyone and their uncle will offer an opinion. So discount anything from anyone who's not a deep subject matter expert, or hasn't done the job. Remember, you'll frequently run into completely random advice from MBAs-turned-consultants-turned-VCs. You cannot learn how to run a business as a board observer. It'll be like taking batting advice from a color commentator 6) Be very very frugal in your hiring. Your first 20 employees should almost exclusively be ICs, and the only two roles are building or selling. Eliminate anyone who does not directly contribute to this (no chief of staff, EA, sales manager) 7) If you've raised capital, pay yourself a reasonable salary i.e. somewhat below market. If anyone tells you otherwise, screw them. Remember, even first-time GPs take 2% of the fund yearly as fees, with a promise to maybe return something in 10 years 8) Unless you are playing a highly competitive capital-intensive game, prioritize profitability over growth. If you're profitable, you will forever be able to raise capital on your turf, which is a significant shift in the power equation (refer point 2) 9) It is a long, lonely journey. People will often tell you to be a missionary, but it is perfectly okay to have superficial dreams that give you the necessary fuel. Fame, FU money, Freedom - whatever floats your boat #startup #entrepreneurship

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🇬🇧 Calling all UK startups: stepping into the venture capital arena can be a thrilling yet daunting experience, but you're not in this alone. I’ve curated a list of 10 top-notch venture capital firms in the #UK, each a leader in their unique sector. Whether you're revolutionizing #tech, transforming #healthcare, or breaking new ground in another industry, aligning with the right #VC partner is vital for your growth and success. 1. Ascension Focus: Seed and Pre-Seed Ventures Sector: Software, Internet, FinTech Top Portcos: Heatio, Saltroad, Nebu~Flow 2. Fuel Ventures 🚀 Focus: Seed and Pre-Seed Ventures Sector: Software, E-Commerce, Internet Top Portcos: Lunio, Eleos, StudioSpace 3. Force Over Mass Focus: Seed and Series A Ventures Sector: Software, Information Technology, FinTech Top Portcos: CUR8, Artificial Labs, SuperFi Finance 4. Northstar Ventures UK Focus: Seed, Funding Round and Series A Ventures Sector: Software, E-Commerce, SaaS Top Portcos: Lightox, DayaTani, Circadacare 5. Octopus Ventures Focus: Series A, Seed, and Series B Ventures Sector: Software, Health Care, Artificial Intelligence Top Portcos: Sidekick, ExpressionEdits, Swiipr Technologies 6. MMC Ventures Focus: Early-Stage, Pre-Seed, Seed and Series AVentures Sector: Software, Artificial Intelligence, Machine Learning Top Portcos: LiveEO, Stanhope AI, Eatron Technologies 7. SFC Capital Focus: Pre-Seed and Seed Ventures Sector: Software, Artificial Intelligence, IT Top Portcos: Lemon, Unibloom World, Blue Skies Space 8. Episode 1 Ventures Focus: Seed, Series A and Pre-Seed Ventures Sector: Software, Artificial Intelligence, SaaS Top Portcos: Lawhive, Superlinked, Viable 9. Maven Capital Partners Focus: Seed and Series A Ventures Sector: Software, Information Technology, SaaS Top Portcos: Carcinotech, Metrion Biosciences, McKenzie Intelligence Services Ltd 10. Notion Capital Focus: Seed, Series A and Series B Ventures Sector: Software, SaaS, IT Top Portcos: TechWolf, Caeli Wind, Harbor Lab Ready to connect with the perfect investor for your startup? Drop a “LIST” in the comments, and we’ll tailor a personalized investor lineup just for you. Got a favorite UK-based VC firm that deserves a shoutout? Let us know in the comments below. At Thunder.vc, we excel in pairing your startup with venture capital firms that align with your specific sector, growth phase, and objectives.

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Not all venture firms are created equal - at Playfair Associates & Principals write cheques and lead deals 💰 Why? Because they have the ability, drive and passion to do so And what we care about most is building optimal partnerships with founders that deliver results This means matching them with the right investor who then continually leverages the diverse experiences of our entire team I spend a lot of my time nowdays supporting these investments as well as leading my own I love doing both Founders: don't assume only partners lead deals and don't be afraid to ask how decision making works during your pitch call #venturecapital #startups #fundraising #founder #entrepreneur #entrepreneurship #technology #innovation #business #ceo

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I often talk about ‘building something offline, before raising money’. This is the perfect example of what I mean👇 One of our portfolio companies Tradeaze UK LTD (it’s a biassed example, I’ll admit), identified a pain point: Co-founder, Jack, is an electrician by trade and saw first-hand the amount of time wasted by tradespeople when picking up tools and parts needed for a job.   To solve this pain point: ↳ Jack set up a Tradeaze iPhone, approached tradespeople on the street, handed out flyers and reached out on Facebook groups to his target audience. ↳ Tradies would text the number, asking for a part or tool. ↳ Jack would then jump on his bike to pick up the part and deliver it back to the customer directly. ↳ After a while, Jack started working directly with merchants providing them with a tablet in kiosk mode, with which the merchant would fill in a really simple form and Jack would receive the order email. ↳ Again, Jack or one of the delivery riders would take the part direct to the tradesperson in need. ↳ Jack continued this way until he got to breaking point and couldn’t handle any more daily deliveries. ↳ This is when he expanded his team to bring in even more experience with his co-founders Joe Blair and Ruben Engel. Since they have raised investment from us and other investors. They were able to prove their pain and solution offline, saving them money and time and proving traction to bring on investors ! Raising too soon, before proving you have the right solution is a huge risk. This is a fantastic way to build a business without needing to raise investment right away. Build offline first ! #businesstips #entrepreneurship #startups

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