Envestors, a private investor network dedicated to helping investors source dynamic companies in need of growth capital, has launched a specialised service for early-stage businesses.
Rising Stars has been introduced in response to demand from its investor network for high-quality, pre-screened investment opportunities. Interest in early-stage companies is growing amongst investors and business angels, spurred by Government incentives such as the Enterprise Investment Scheme (‘EIS’) and Seed Enterprise Investment Scheme (SEIS), designed to encourage wealth creation and employment. The Firm has experienced an increase in applications from young companies that have seen traditional providers withdraw progressively from early stage funding.
In launching Rising Stars, Envestors has teamed up with The Royal Bank of Scotland, RSM Tenon and Nabarro to provide a comprehensive package embracing corporate finance advice, banking, accountancy and legal services. The service is focused on ensuring young, dynamic companies have access to the resources they need, and the opportunity to secure financial backing.
The Rising Stars team wants to hear from businesses across all industry sectors, at proof of concept, seed, pre- and early-revenue stages. The typical funding requirement is GBP75,000 to GBP300,000. Successful candidates benefit from a two-day ‘boot camp’, fundraising expertise, an information bulletin sent to Envestors’ database of 1,000 high-net-worth investors and family offices, and the opportunity to present directly to investors at an evening event.
In the first deal completed under Rising Stars, Avtura (www.avtura.com), an independent, dynamic provider of software management solutions and consultancy for airport ground handling operations, has raised £300,000 through the Envestors network. Crawley-based Avtura enables airlines, ground handlers and airports to make significant cost savings without compromising customer service. The funding will help the company accelerate growth and market capture in the UK and internationally. Other Rising Stars fundraising projects in the pipeline focus on fitness and leisure, medical support and internet technology.
Rising Stars is headed by Investment Manager Tom Billings, who has returned to the UK from Shanghai where he was managing director of US multinational Tex Tech Industries before founding a consultancy advising Chinese investors. He previously ran an informal angel network.
“I came back to help stimulate the sort of growth I’d experienced in China,” says Tom, who studied history and economics at the US Ivy League university Dartmouth College. “I’m passionate about British innovation and with Rising Stars, we have found the perfect way to put this into action.”
To mark the launch of its new services, Envestors has published an updated version of its Freshly Squeezed Guide to Raising Finance, a detailed, easy to understand handbook packed with essential information for bright young companies.
Scott Haughton (pictured), Director of Envestors, says: “Early-stage funding has been overlooked by others and Rising Stars enables us to address a large and growing market gap. With our experience and market position, we are ideally placed to undertake this initiative. We all rely to some extent on the wealth creators of tomorrow to generate economic activity and employment – so our offering is of major importance. The Royal Bank of Scotland and our other partners in Rising Stars appreciate this and are right behind us.”
Christopher Meeking, CEO of Avtura, says: “Envestors’ Rising Stars service has been ideal for us. The funding enables us to speed the growth achieved to date, and make real progress in responding to the demand we’re seeing both at home and abroad for our aviation software solutions.”
Envestors is keen to hear from start-ups and early-stage firms, as well as private investors, wealth managers, accountants and lawyers who would like to know more.
