Startup Funding
We have a clear vision to be part of globalisation by creating, developing, acquiring and investing in ideas that will one day become recognisable or even legacy brands and businesses. We have a passion and a desire to deliver at the highest level, be it; ecommerce, property development, technology, food and beverages, entertainment, hospitality, fashion, energy, investment trading and consulting.
We have a clear vision to be part of globalisation by creating, developing, acquiring and investing in ideas that will one day become recognisable or even legacy brands and businesses. We have a passion and a desire to deliver at the highest level, be it; ecommerce, property development, technology, food and beverages, entertainment, hospitality, fashion, energy, investment trading and consulting.
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Plugging ‘The True Equity Gap’ for Technology Start-Ups is our USP,<br />
says Rosemont Group CEO Freddie Achom<br />
Rosemont Group Capital Partners, the London based seed and early stage venture<br />
capitalist firm last year announced its intention to invest in as many as 20 start-up<br />
and early stage technology companies. Its target was to do so within 2 years, with<br />
a primary investment focus on consumer Internet, digital content, advertising,<br />
marketing, and commerce. To some this would seem like a tough or near<br />
impossible possible task given the precariousness of the investment sector at<br />
present, particularly for a reasonably small firm. The group invests capital through<br />
direct equity investments, convertible loan/notes, options, warrants or preferred<br />
shares and invests on its own or with co-investment partners. So far the firm has<br />
achieved some enviable success and insists there is more to come in the very near<br />
future.<br />
“The focus of the fund is to back innovative technology ventures with potential for<br />
exponential growth, providing seed funding for start-ups. Why start-ups and<br />
especially at the widely considered riskier seed level, some may ask? This is where<br />
we feel we can add the greatest strategic value and see potential for greater<br />
financial return,” says Rosemont Group’s CEO, the Nigerian-born British Investment<br />
Entrepreneur, Freddie Achom. “We are still relatively young within the space and<br />
continue to accrue experience with every investment we make, this is achieved by<br />
working closely with the founders we invest in and believe in 1000 per cent.”<br />
Unusually Rosemont Group’s business model is to adopt an element from<br />
‘accelerators’, which apply less standard sizes of investment and offer greater<br />
executional assistance to digital SME's. The tech investment sector In the UK has<br />
seen the launch of programmes such as Seedcamp achieve good level of<br />
success, emulating those of US based accelerators like YCombinator, Betaworks,<br />
Techstars and LaunchBox to name a few. However, typically these programmes<br />
have served to increase the flow of new start-ups rather than specifically<br />
addressing the funding gap that Achom believes exists. With a strategy to target<br />
what Achom calls ‘the true equity gap’, generally businesses seeking less than 1<br />
million pounds in financial capital and as little as 50 thousand pounds, the group<br />
has achieved good success so far. Given the unique characteristics of early stage<br />
Internet companies, Rosemont Group carefully screens and evaluates them prior<br />
to investment, then accelerates and maximises their portfolio companies’<br />
executional prospects by working directly with them. “We specifically target early<br />
stage businesses which fall within or often below the conventional equity gap,<br />
accelerate the growth of these companies and create sustainable businesses as<br />
well as a proven investment model,” says Achom.<br />
Last year alone Rosemont Group has seen one of its portfolio companies, social<br />
media management tech start-up JustGo, acquired by Tunecore, one of the<br />
leading digital music distribution and publishing administration providers in the US.<br />
Achom was pleased with the transaction but remained tight-lipped about the<br />
details of the deal, only saying ‘it was a liquidity event so we are happy investors.”
A recent investment for Rosemont Group was in what is now the UK’s number one<br />
parking app, AppyParking. “Rosemont Group was the first and only money in at<br />
seed stage, which we are very proud of. We demonstrated our willingness to back<br />
innovation we believe in, ” explains Achom. Aviva ventures the venture arm of<br />
Aviva insurance lead the next round of investment into AppyParking with a 1 million<br />
investment and more recently the company has recently raised further 10 million<br />
pounds on a 30 million post-money valuation. Another investment saw Rosemont<br />
Group invest in a Pakistani tech start-up alongside Sunbridge Capital and<br />
Telefonica’s accelerator programme.<br />
A factor that Achom feels brings the balance in their favour is that Internet and<br />
digital technology companies require less operating capital to develop working<br />
products and solutions than other more traditional businesses. They typically do not<br />
have large capital expenditure requirements, don’t produce or manufacture<br />
hardware or tangible goods, rarely hold inventory and do not have returns or<br />
leakage to contend with.<br />
Achom concludes by saying “recent industry trends such as using open source<br />
software for building business services, cloud computing for storage or processing<br />
requirements and distributed flexible teams all contribute to the unique ability of<br />
digital SME's to start a project, product or company within months or even weeks<br />
for less than the amounts typical VCs look to invest. There is a gap and we aim to<br />
achieve as larger market share of this space as possible.”<br />
ABOUT ROSEMONT GROUP CAPITAL PARTNERS:<br />
Rosemont Group Capital Partners LLC is an early stage venture capitalist firm<br />
co-founded in 2003 by British entrepreneur and venture investor Freddie<br />
Achom. Its portfolio is as wide ranging as digital technology, bio technology,<br />
solar technology, financial services, land and property development to more<br />
high profile ventures in the entertainment sectors. Rosemont Group is<br />
headquartered in London with international offices in New York and Mumbai.<br />
Rosemont Group is actively seeking interesting ideas, concepts and<br />
businesses to invest in and should be contacted via their website:<br />
http://RosemontGroup.net/contact<br />
We are social: @RosemontGroup #RosemontGroup