National and International Seed Capital Funds
London Seed Capital
London Seed Capital Limited (LSC) is a private seed and early-stage venture capital fund owned and operated by GLE. GLE, a leading economic development company delivering investment, products and services to promote small business growth, is headquartered in London with satellite offices spanning the South East, Brussels, and Prague. A trusted partner in small business support and equity finance, GLE is renowned for innovation and commitment to developing products, investment and services to maximize the potential of individuals, small enterprises and growing businesses. For more information, visit www.gle.co.uk GLE has become the largest provider of equity capital to small and growing enterprises in Europe with over £330 million funds now under management.
London Seed Capital only invests where its investment is at least matched by business angels. It can invest a maximum of £100,000 in the first round, alongside a minimum of £100,000 of business angel investment. LSC operates in conjunction with the London Business Angel network (LBA) through which the majority of the required matched business angel investment is likely to be sourced.
Key criteria when considering an investment are:
- Strong management team – experienced management team with relevant operational or sector experience.
- Attractive market – large, growing market with an international expansion strategy.
- Sustainable competitive advantage – a clear technological advantage, scalability and high barriers to entry.
- Potential for explosive growth – your company should have the potential to become a market leader in the near term.
The investment process is as follows:
- Companies seeking investment present to the London Business Angel network.
- After the presentations London Seed Capital attends initial investor meetings
- London Seed Capital selects from the opportunities and holds meetings with management alongside business angels
- A syndicate of angel investors is built to create the match from LSC.
- Terms of investment are agreed upon by members of the syndicate and LSC.
- Due diligence is conducted with further meetings with management
- An investment committee meeting is held to review the final proposal. This meeting is attended by the management team of the investee company and the lead business angel investor.
- An investment agreement is finalized and the investment is made.
LSC charges a fee between 2% and 6% plus VAT [Note – not sure what this means]. Half of the fee is paid upon signing the investment agreement and half upon completion of the investment. In addition, the business must pay LSC’s legal fees as well as an ongoing monitoring and advisory fee each year while it is a shareholder.
London Seed Capital
New City Court
20 St Thomas Street
London
SE1 9RS
T: 020 7089 2338
F: 020 7089 2301
E: robert@londonseedcapital.com
