VENTURESOUTH ANGEL FUND I
Formed in 2014, the VentureSouth Angel Fund (previously called the Palmetto Angel 2014 Fund) invested its capital in high-growth Southeastern startups alongside VentureSouth's active group members.
The fund invested in 18 early-stage investments in Southeastern companies funded by VentureSouth members. The fund focused on manufacturing, logistics, and healthcare businesses to leverage best the combined expertise of these angel members.
The fund invested up to a 1:1 match of investments of $100,000 or more made by at least five active VentureSouth members.
The VentureSouth leadership team provided additional diligence and investment execution expertise, and continues to provide reporting, valuation, portfolio monitoring, and exit preparation assistance.
The Fund is a professionally-managed investment vehicle with competitive terms:
open to accredited investors (including those not in an angel group)
$25,000 minimum commitment
3-4 year deployment period, 10 year fund life
below market fees for comparable investment vehicles
The fund began investing in June 2014, closed to new investors at the end of March 2015, was fully invested at the end of August 2016, and had returned nearly half of its capital to investors following its first three portfolio company realizations by the end of 2018.
Investors in the fund received benefits including:
Access to the best early stage companies from across our state
Due diligence expertise of over 200 experienced angel investors and business leaders
Automatic diversification into a portfolio of angel investments - the most prudent way to invest in early stage companies
Professional management through a dedicated fund structure
The fund hopes to generate a target net annualized return (IRR) to investors of over 20%, in line with the average returns to angel investors in groups historically. Investors also benefit from those investment that were eligible for the SC angel investor tax credit.
Investors can login to Venture 360 here.
The VentureSouth Angel Fund I interests were offered pursuant to Rule 506(c) of the Securities Act of 1933. Interests were offered only to accredited investors, in reliance on an exemption from the registration requirements of the Securities Act. The Fund is not required to comply with specific disclosure requirements that apply to registration under the Act, and should only be considered by investors that are able to bear the loss of their investment. The SEC has not passed upon the merits of or given its approval to the interests, the terms of the offering, or the accuracy or completeness of any offering materials; the interests are subject to legal restrictions on transfer and resale and investors should not assume they will be able to resell their interests.