Saxony Angel Venture Funds
Saxony Angel Venture Funds (SAVF) of MBG Saxony
Who is financed?
- Start-ups, business founders, young companies in which business angels or business angel syndicates participate
What is financed?
- Operating resources, personnel, product development, market development, research & development
How is financing provided?
- Silent partnership of max. € 100,000.00
Goals
The objectives of this financing option include:
- Extending the development time (runway) of the start-up to enable faster growth. This should help to achieve better key performance indicators (KPIs) and thus a higher company valuation.
- The provision of the deal flow, networking and governance experience of Mittelständische Beteiligungsgesellschaft Sachsen (MBG Sachsen) for the benefit of the supported start-up.
Terms and conditions
The financing option includes a silent participation with a conversion option and the following conditions:
- Type of participation: Silent participation with conversion option
- Use of funds:Co-financing of costs incurred in the course of setting up or consolidating the business (usually up to 3 years after setting up). As a rule, operating resources, personnel, product development, market development, research & development.
- Maximum amount: Silent participation of € 50,000 to € 100,000
- Term: The investment extends over a period of 7 years.
- Processing fee (one-off): After approval 1.0% of the investment amount
- Conditions (p.a.): Fixed fee 9.5% p.a. plus 2.0% p.a. profit-related (depending on the investment amount). The fixed fees are deferred for the entire term of the investment.
- Conversion option:
- Granting of a conversion option including a conversion discount of 20% on future company valuation
- No valuation cap
- The aim is to convert the financing instrument as part of further qualified financing rounds
- Liability: No personal (partial) guarantee
- Prerequisites:
- Promising business concept and founding team
- Securing the liquidity reach through a financing round, usually over 9-12 months
- Start-up must have a clear strategy for further financing after the angel financing round with MBG (potential interested parties/contacts)
- The amount of the MBG investment must be mirrored by at least 1 business angel or business angel syndicate
- Process:
- Standardized set of contracts
- transaction-friendly, as no notarization is necessary notarization is necessary
- Definition of a due diligence scope in coordination with start-up and business angel
- Other:
- Qualified subordination
- Conclusion of consulting agreements of the business angel with an impact on liquidity require the approval of MBG
Your contact person at futureSAX
Claudia Landrock
Project Manager
Capital Transfer & Investors
Connecting people - that's what Claudia Landrock is passionate about. Before the native of Zwickau completed her bachelor's degree in economics at the TU Dresden, she gained one year of experience abroad as an au pair in Australia and France. An internship of several months in the USA was followed by her master's degree in business administration at the University of Regensburg. Subsequently, she supported and accompanied technology-oriented start-ups and digital start-ups in the Innovation and Start-up Center in Regensburg from the initial idea to the financing round and helped to further develop the regional start-up ecosystem.
Her fascination with innovation and start-ups is also rooted in her student involvement with "enactus Regensburg". She still supports young start-up projects on a voluntary basis as a mentor at StartUP Teens and also campaigns for better conditions for start-ups at federal level as chair of the Start-up Promotion Working Group at a digital policy association.