- What is the Minimum Investment ?
The Minimum Investment into the Genesis Fund is $10,000
- Why should I Invest in the Genesis Fund ?
The Exponential “Genesis” Fund is Mauritius Regulated Closed End, Private Equity Fund, Investing in a
- Wide Spectrum of Global Start Up,
- Early Stage &
- Growth Companies.
The Fund intends to achieve its objective by following a trading strategy based on (but not limited to)
- Seed Financing and Mentoring of Global Start Up Companies,
- Investment in Early Stage and Growth Companies, additional
- Private Equity & later stage Venture Capital Investments,
- Including Pre-IPO and IPO Investments.
With an exit strategy via a Private sale or Listing of these companies.
- Who Should Invest ? Investor Profile – Warning
- The Fund is best suited for
- Sophisticated and
- High Net Worth Individual and
- Institutional Investors who are willing to tolerate a high level of risk of their capital, with a view of substantially increasing the value of their investment.
- With a long-term Investment horizon of up to 10 years, though this is the maximum term of investment.
The Fund offers the opportunity to invest in a globally diversified portfolio of Start up Private Equity Company opportunities and related investments.
The risk reward ratios of such an investment are extremely high.
Targeted Return is in excess of 30% per annum
- What is Seed Capital ?
Seed money, sometimes known as seed funding or seed capital, is a form of securities offering in which an investor invests capital in exchange for an equity stake in the company. The term seed suggests that this is a very early investment, meant to support the business until it can generate cash of its own (see cash flow), or until it is ready for further investments. Seed money options include friends and family funding, angel funding, and crowdfunding.
Seed money can be used to pay for preliminary operations such as market research and product development. Investors can be the founders themselves, using savings and loans.
They can be family members and friends of the founders. Investors can also be Outside Angel Investors, Venture Capitalists, Accredited Investors, Equity Crowdfunding Investors or Government Programmes.
Types of early-stage funding
Seed capital can be distinguished from venture capital in that venture capital investments tend to come from institutional investors, involve significantly more money, are arm’s length transactions, and involve much greater complexity in the contracts and corporate structure accompanying the investment. Seed funding involves a higher risk than normal venture capital funding since the investor does not see any existing projects to evaluate for funding. Hence, the investments made are usually lower (in the tens of thousands to the hundreds of thousands of dollars range) as against normal venture capital investment (in the hundreds of thousands to the millions of dollars range), for similar levels of stake in the company.
Seed funding can be raised online using equity crowdfunding platforms such as SeedInvest, Seedrs and Angels Den. Investors make their decision whether to fund a project based on the perceived strength of the idea and the capabilities, skills and history of the founders.
- What is Private Equity?
WHAT IS PRIVATE EQUITY AND WHY IT SHOULD FORM PART OF AN INVESTORS PORTFOLIO
Private equity is medium to long-term finance provided in return for an equity stake in potentially high-growth unquoted companies.
Private equity investments typically support management buyouts and managing buy-ins in mature companies, as opposed to venture capital which provides funding for early-stage and younger companies – more information about venture capital can be found here.
As a model private equity is a proven driver of sustainable business growth. This is achieved through operational expertise, sound management and, importantly, through the close working relationship between the private equity backer and the company management team.
In contrast with publicly-listed companies, which can often have thousands of shareholders, private equity managers work alongside the management team to enhance the running of the business. This governance structure leads to much shorter lines of communication between manager and investor, ensuring constant engagement between the two.
This ‘active ownership’ approach means the private equity manager will work alongside the company management team to enhance the value in the business. This can involve all areas of operation, from the top-line growth, efficiency savings, cash generation and procurement, to supply-chains, marketing and sales, improving reporting and human resources.
Such an approach becomes self-perpetuating and ingrained within the company, ensuring that the business remains committed to creating value and increasing growth even after the private equity firm has sold its stake.
Private equity firms will typically look to hold investments for between four and seven years, at which time they will look to sell, or ‘exit’, their stake, either on the stock market, to a corporate buyer or to another investor.
- What are the Fees ?
- There is a Maximum Marketing Fee of 5% . This fee is amortised over the term of the Investment of Maximum 10 years so this equates to 0.5% per annum
- Management Fee is 2.75% per annum
- Performance Fee is 20% of fund gains in excess of 9% per annum.