The Angel Hub launched in Cape Town a few weeks ago and has already begun to create a huge amount of chatter on the Entrepreneurial channels. Here is an extract from their latest press release:

Angel Hub - A Business Angel Investment Group that pools funding sources for investment in early-stage South African ventures to accelerate growth and create value. Despite the availability of highly lucrative deals in South Africa, there remains a significant financing gap for early-stage entrepreneurial ventures. 

Due to the high risk of failure, early-stage ventures need ‘smart funding’ – a combination of capital and business advisory, access to networks and mentorship services. In more developed markets, this type of funding is provided by Angel Investors, who provide financing and business support in exchange for an equity upside.  In SA, angel investments are mostly ad hoc and dependent on personal networks and in the last 10 years, there have typically only been 7-8 reported such deals in SA each year. 

Angel Hub is a manager-led Business Angel Investment Group that pools funding, expertise and networks, for investments ranging between R1m and R10m in high-growth SA Ventures. 

It manages risk of early-stage investment by:

  •  Providing access to high quality deal opportunities through trusted networks
  • Creating an expert community of investors and entrepreneurs to vet and support deals
  • Using a co-investment/portfolio approach to investment
  • Assisting the deal process through an experienced management team
  • Providing a portal for education, informing and sharing experiences among investors 

AngelHub will increase the probability of success for entrepreneurial ventures and aims to unlock new funding resources for start-ups, support SA entrepreneurship innovation and generate jobs and economic value. 

AngelHub provides investors with high return potential with managed risk.  Members receive: 

  •  High-quality deal opportunities with less effort
  • Networking and collaboration with a community of investors, entrepreneurs and advisors
  • Resources for due diligence, deal negotiation, post investment support and exit
  • The benefit of efforts spearheaded by AngelHub in favour of potential tax incentives for Angel Investors 

Individual investors who seek to actively participate in activities and are able to invest R300K+ and institutional investors able to invest R1M+(per annum) are invited to join AngelHub. 

Drop by their website www.angelhub.co.za for more information.