Welcome to Seedrs Private Deal Room. Investors on Private Deal Room have access to a few types of deals that aren’t available on the main platform, encompassing more of the startup lifecycle from ideation to IPO.
Whether you want to angel invest in an early-stage startup, right at the beginning of its journey, or invest in late stage, high-growth companies before IPO, or even to become an LP in some of the top VC funds in the UK and Europe, Seedrs Private Deal Room is opening up private equity and venture capital in an unparalleled way.
So, a little more on each new deal type…
Introducer Campaigns (for eligible investors)
Introducer Campaigns allow Angel investors seeking to invest a minimum of £10,000 in one company to connect directly with entrepreneurs raising pre-seed and seed funding rounds. Introducer Campaigns can be used by entrepreneurs to find angels to invest both capital and guidance into their businesses, before offering to the wider Seedrs investor base, or to generate the traction needed to begin tapping into Seedrs’ network of VC and Institutional partners.
Whilst Introducer Campaigns are available to view on the platform if an investor has opted-in, the investment takes place offline. The funding round’s terms are not set, and it is up to the investor and entrepreneur to negotiate directly. This allows investors to take a far more meaningful and collaborative role in the growth of a startup than might happen during a typical Seedrs equity crowdfunding investment.
Introducer Campaigns provide investors with the company’s pitch deck and supporting documents, as well as a brief company summary. Investors can request an introduction to the company, conduct their own due diligence, and invest in the company directly, outside of the Seedrs nominee.
Ticket sizes start at £10,000 for Introducer Campaign investments. Different opportunities will have different minimums based on the ticket sizes that the entrepreneur is willing to accept.
If your current Investor Profile does not grant you access to view Introducer campaigns, you can review your access to the Private Deal Room through the following link here.
Venture Fund LP Opportunities
Industry leading venture capital funds such as Passion Capital and JamJar Investments, which are structured as limited partnerships, typically target institutional investors. Previously most individual investors have been excluded from accessing these funds due to prohibitively large ticket sizes.
Private Deal Room allows eligible investors to invest in these funds, giving investors exposure to an actively managed portfolio of companies, vetted and supported by some of the best minds in venture capital.
Passion Capital, one of Europe’s leading VC funds (portfolio includes GoCardless, Monzo and Butternut Box), successfully raised part of its third fund on Seedrs in 2021, hitting their £1m target in just 20 minutes.
Shareholder Secondaries
Shareholder Secondaries provide investors access to share allocations in late stage, pre-IPO companies, typically from Series B and above. With large companies trending towards staying private for longer, secondaries enable everyday investors to buy shares in pre-IPO companies, regardless of whether they’ve used equity crowdfunding in the past. We’ve recently run Shareholder Secondaries in Impossible Foods Inc. and Freetrade.
The pitch is not visible to the general public, and will include less detail than one would expect from a typical Seedrs crowdfunding campaign. All information provided will still be verified by Seedrs, unless stated otherwise within the campaign, however investors will need to conduct their own due diligence prior to making an investment decision.
Pre-emption Allocations
Pre-emption rights are usually included as standard in Seedrs equity crowdfunding campaigns. This gives investors the opportunity to protect their shareholdings from dilution, and enables them to participate in follow-on funding rounds (See explainer article here).
In many cases not all the pre-emption allocation rights are exercised by investors leaving limited allocation available. These limited allocations in Seedrs portfolio companies are available to investors on Private Deal Room.
One recent example is Oddbox’s recent Series B. After two successful equity crowdfunding raises on Seedrs, Oddbox raised a £16m Series B round. This was at a valuation of over £100 million, a significant uplift from their last equity crowdfunding round.
As not all previous investors exercised their pre-emption rights, investors on Private Deal Room were able to participate in Oddbox’s Series B fundraise, an opportunity that wasn’t accessible anywhere else.