Juha Lindell’s Post

The tides have turned in many ways for traditional #VC funds. Erin Griffith does an excellent job of outlining this new trend and why it's happening. The question is: will this shift continue in this direction, or is it just a phase? Read more in her recent article in the NYT: https://lnkd.in/gtiEGftU

Last week we (Claire and Amir) posted about how to get into angel investing (in the UK). This led to a lot of direct follow-up questions. As such this week we are posting around one of the most common questions we saw... "What is the difference between the various funding rounds? " So we break down terms like 'friends and family', 'pre-seed', 'seed', 'bridge' rounds etc.. As always we would be greatful: * If you can message any corrections or additions we need to make * Please comment if you have any questions * Reshare if you think this is of value to your network https://lnkd.in/eW8ZipJW

Not every idea is worth investing in... The big players will always make investing a numbers game, invest in 10, one hits, great payoff for the fund. The 10 will get a great experience, until the 1 pays off and the cheques for the other 9 taper off. Nothing wrong with this, take the money, make the best of growing your idea, just go in eyes wide open. #seedfunding #angelinvesting

Via Icehouse funds, Simplicity now has $35 million invested in 67 great Kiwi start ups. Why? Because it’s what pension funds do in America, Australia, Europe and Asia. They know that greater risk leads to greater long term returns. Otherwise, capitalism would be wrong. And it’s no different in New Zealand. And as long as our investments are diversified, all the eggs aren’t in one basket. Diversification is a free gift in investing - It costs nothing, and keeps on giving. And it makes investing in start ups much less risky. So if your KiwiSaver scheme isn’t investing in quality start ups, and hiding behind old excuses not to, switch to one that is %) Simple really.

See below from Transform Finance's newsletter

100% agree with Jamie Finney's call to Just Start a Fund ...and I up the ante: Start a fund that includes, yes, all the local impact-oriented angels and anchor institutional investors but take it one important step further to include all aspiring citizen investors. I'm talking about the non-accredited (retail) folks, and there are plenty who have the means and desire to put their money where their homes and hearts are. Investment crowdfunding (Reg CF) opened the door for retail investors to engage with values-aligned companies. And -- for all the same reasons that Jamie points out in his post -- they will also become more effective and engaged if they can band together into a fund rather than taking on investments one-by-one. Granted, including retail investors adds complexity -- believe me, I know! A small but committed group of community capital champions has been tackling the barriers of investor exclusivity for years and I'm happy to say it is getting easier thanks to the work of Capital Innovation Lab, National Coalition for Community Capital (NC3), PathLight Law and Michael Shuman. And with community champions like Local Return in Rhode Island and WEPOWER in St. Louis leading the way to build true community wealth, we have more and more examples of how it can be done. #juststartafund https://lnkd.in/e_w7hFAf

Thinking of getting together with other investors to invest as a syndicate? You can do that on SeedLegals SeedLegals automates the entire process, it takes minutes to create a syndicate. And because it’s on SeedLegals it’s all seamlessly integrated with the funding round. There's a slick workflow from adding investors, to signing the deal documents, through to getting SEIS/EIS certificates at the end. https://lnkd.in/ekDBSaFC

https://lnkd.in/d5mxz8pG Yep, 50 percent of VCs will not be able to raise their own fund. That is great news! Maybe they will get it into their arrogant heads their model is broken and needs to change. Pitch Decks and business plans are worthless unless you are investing in a company that produces pitch decks and business plans. Ridiculous way to go about your business.

Less than 9 hours left to invest in Social Tip. It's been incredible to see The Social Tip Crowdcube raising over £2.4m from over 1,000 investors. The offer to invest in Social Tip will close at midnight tonight (UK time) or when we reach £2.55m – whichever comes first. This is your chance to invest on the new venture from James Watt founder and former CEO from BrewDog alongside an award-winning VC, angel investors and world renowned tech founders all exactly the same terms and at exactly the same price. Link in the comments LFG! 🔥 #RightClickSaveAs PS: Crowdcube risk warning: don’t invest unless you’re prepared to lose all the money you invest. This is a high-risk investment.

As the Shasta Ventures approval deadline approaches, we're presented with a unique opportunity to observe the complexities and inherent conflicts in GP-led secondary transactions. This scenario sheds light on the considerable leverage GPs hold within the private equity infrastructure. According to the article, proposed continuation fund requires LPs to approve the transaction if they wish to roll their interests into the new structure—a stipulation that could be seen as putting undue pressure on LPs. This raises critical questions about the balance of power in private equity deals and the alignment of interests between GPs and LPs. What are your thoughts? Is it appropriate for GPs to demand such conditions for LPs to participate in a continuation fund? How do you see this impacting the broader private equity landscape and the perception of GP-led secondary transactions? Looking forward to hearing your insights and perspectives on this pivotal issue. #PrivateEquity #VentureCapital #InvestmentTrends #ShastaVentures #GPledSecondaries