Funding options available for startups in Australia
As many of you already know, Pollenizer Ventures prefers to invest in concept stage startups with little technical expertise. This is where we add great value.
If this doesn’t fit with your start-up, and you’re looking for alternative funds, there are many financing options available in Australia.
They are: Seed Funds, Angel Investors & Venture Capital:
Seed Funds;
1. Startmate
Startmate is a group of startup executives offering mentorship and seed financing to founders of Internet and software businesses based in Australia. The 3-month program offers mentorship from more than 20 successful founders and a 2-week trip to Silicon Valley.
- Leader/s: Niki Scevak & 25 others
- How much equity do they take? 7.5% of equity
- How much cash do they put in? $ 25,000
- Big success/es: Too early to tell.
- What is their strategy? Startmate provides small, early-stage investment and hands-on mentoring to local startups.
2. Pushstart
PushStart is a new set of community-focused, mentor-driven, activities to help grow Australian tech (web and mobile) startups, and the Australian tech startup community.
The PushStart Accelerator, run in Sydney, offers Seed capital, focused mentoring from great industry people and a location for successful applicants to work on startups for 3 months.
- Leader/s: Kim Heras, John Haining, Roger Kermode
- How much equity do they take? N/A
- How much cash do wthey put in? N/A
- Big success/es: N/A
- What is their strategy? Combining top Aussie tech startup people, seed funding and community events, they plan to give local tech entrepreneurs help to start, grow & succeed.
3. Dominet Digital
Dominet Digital is a boutique investment and consulting group with a focus on digital, innovation and investments.
- Leader/s: Domenic Carosa
- How much equity do they take? N/A
- How much cash do they put in? N/A
- Big success/es: CheapHotels.com.au, mailinglists.com.au
- What is their strategy? The success of any startup is based on having the right ingredients across strategy, sales, marketing, financial and operations.
3. The Founder Institute
The Founder Institute is a global network of startups and mentors that helps entrepreneurs launch meaningful and enduring technology companies. The Founder Institute recently opened offices in Sydney, Australia.
- Leader/s: 25 Mentors per Semester
- How much equity do they take? Equity pool
- How much cash do they put in? Cash pool
- Big success/es: rentcycle, cakehealth, udemy
- What is their strategy? Great People + Expert Training + Aligned Incentives = Exponentially Better Chance of Success
Angel Investors;
1. Innovation Bay
Innovation Bay is an invitation only group, gathering for intimate breakfast and dinner events with selected guest speakers. Innovation Bay is a non-profit group created in 2003 aimed at creating a more intimate environment for tech investors and startups in Australia to share their experiences and network.
- Leader/s: Ian Gardiner, Phaedon Stough
- How much equity do they take? NA
- How much cash do they put in? NA
- Big success/es: Posse
- What is their strategy? Innovation Bay acts as a broker between “angels” (those with money to invest or advice to give) and “entrepreneurs” those with ideas and talent but not enough money or business advice.
2. Sydney Angels
Sydney Angels is a formal angel investment group focused on the needs and successes of its members as angel investors. It is a potential source of capital for innovative, high-growth, early stage businesses based in Sydney.
- Leader/s : Vivian Stewart, Richard Dale, Mathias Kopp, Hamish Hawthorn, Andrew Stead, Adrian Bunter, Steven Maarbani, Tim Staley, and Peter McWilliam.
- How much equity they take? Angel investors expect >10% equity
- How much cash they put in? Businesses seeking $100k-$1m equity capital
- Big success/es: Posse, DriveMyCarRentals
- What is their strategy? Sydney Angels encourages the development of formal angel investment groups in Australia.
3. Melbourne Angels
Melbourne Angels is a group of over 30 private investors who actively invest in early stage technology companies. You should anticipate that it will take 3-6 months from initial application for a deal to close.
- Leader/s: Jordan Green
- How much equity they take? Equity anywhere between 20-45%
- How much cash they put in? Viable business proposition that requires $50,000-$500,000 in funding
- Big success/es: NA
- What is their strategy? Invests in companies that offer exceptional opportunities for high returns on investment. They only invest in companies that have the potential to grow to more than $50 million in annual revenue within 5 years.
4. Capital Angels
Capital Angels provide a forum for qualified high-net worth individuals to proactively support Capital Region entrepreneurs through both investment and direct activities supporting the companies.
- Leader/s: Uwe Boettcher, Nick McNaughton
- How much equity do they take? N/A
- How much cash do they put in? $ 25,000 per deal
- Big success/es: GPSports Systems, Windlab Systems
- What is their strategy? Capital Angels seek investment opportunities in Canberra and the surrounding capital region in high-technology and services.
5. Angel Investors Tas
Angel Investors Tas provide seed funding for new business start-ups, and equity funding for businesses in the emerging stage, commercialisation stage, or growth/expansion stage. Funding is usually through equity capital, but can be a mix of convertible debt & equity.
- Leader/s: Will Downie
- How much equity they take? N/A
- How much cash they put in? Typical investments range between $ 100 K to $ 1 million. Investments are in multiples of $25,000.
- Big successes: N/A
- What is their strategy? Invest in promising opportunities with potential rewards commensurate with recognised risks.
6. Brisbane Angels
Brisbane Angels is a large group of private investors who actively invest in early stage technology companies, usually in South East Queensland, Australia.
- Leader/s: John Mactaggart
- How much equity they take? N/A
- How much cash they put in? $50,000 to $500,000
- Big success/es: Five Faces, Aussie Colours
- What is their strategy? They finance growth activities, including product development, recruiting key staff, launching sales and marketing activity.
Venture Capital;
1. Yuuwa Capital
Yuuwa Capital is a $ 40 M early-stage venture capital firm based in Perth, Western Australia. Prefer Perth, but otherwise Australian based Startups.
- Leader/s: Liddy McCall, James Williams, Matthew Macfarlane
- How much equity do they take? NA
- How much cash do they put in? $500,000 to $5,000,000
- Big success/es: AdAlta
- What is their strategy? Seek investment opportunities where Yuuwa can provide both capital and expertise to help founders, management and early investors to turn good ideas into great companies.
2. Starfish Ventures
Starfish Ventures invests in high growth companies and outstanding management teams. It seeds, builds and manages high growth technology businesses in Australia.
- Leader/s : John Dyson, Michael Panaccio, Malcolm Thornton, Nick Peace, Hun Gan, Ivor Frischknecht, Eve Burgess, Susan Lawrence, Anthony Glenning, Laura McKenzie, Felicity Donnelly
- Size: Manages over $350 million in investment funds
- How much equity do they take? N/A
- How much cash do they put in? $3 – $5 million in the first round
- Big success/es: Aruspex , iSelect
- What is their strategy? Invest in technology businesses that possess outstanding management teams, are commercializing innovative technology and are capable of becoming a global or regional market leader.
3. Southern Cross Venture Partners
Southern Cross Venture Partners (SCVP) was launched by veteran Venture capitalists who have managed and operated companies themselves.
- Leader/s: Gareth Dando, Bob Christiansen, John Scull, William A. Bartee, Dr Larry Marshall
- How much equity do they take? NA
- How much cash do they put in? $2 million to $5 million
- Big success/es: Mantara, Quantenna Communications
- What is their strategy? SCVP assist early stage technology companies that demonstrate the potential for exceptional growth and market leadership.
4. ESVCLP Funds
Early Stage Venture Capital Limited Partnership (ESVCLP) is a Program of the Government of Australia.
Eligible venture capital funds can register as an ESVCLP. Businesses with assets of less than $50 million may access venture capital under this program.
The list of active ESVCLP funds is as follows:
The following limited partnerships have capital and are registered with Innovation Australia under s13-1(1A) of the Venture Capital Act as early stage venture capital limited partnerships.
| S.no | ESVCLP fund | Location | Area of Investment |
| 1 | Constant Innovation, LP | NOTTING HILL VIC 3168 | Young businesses active in providingtechnology based products or services into markets (including IT businesses such as software, internet, content and related services). |
| 2 | OneVentures Innovation Fund, LP | SYDNEY NSW 2000 | Cleantech, information technology and lifescience. |
| 3 | Parallel Capital No. 1, LP | SYDNEY NSW 2000 | Intellectual property and technology, software and hardware, services businesses, media both traditional and new, consumer products, and asset management services. |
The following limited partnerships are seeking capital and are conditionally registered with Innovation Australia under s13-5(1A) of the Venture Capital Act as early stage venture capital limited partnerships.
| S.no | ESVCLP fund | Location | Area of Investment |
| 1 | BGS Early Stage Venture Capital LimitedPartnership | BELROSE NSW 2085 | Growth businesses including those operatingin: Environmental, including water, energy production, energy storage and advanced materials, Information, media and communication technology, Sustainable environmental science, Medical and pharmaceutical innovations and Innovative manufacturing solutions |
| 2 | Carnegie Innovation Fund, LP | PADDINGTON NSW 2021 | New or emerging companies commercialisingAustralian research and development with a focus on the following sectors – life sciences, bio-medical technologies and innovation industries such as information technology and engineering innovation. |
| 3 | Elcano Sustainability Investments 2, LP | GRACEVILLE QLD 4075 | Eligible entities that are at their pre-seedthrough to early expansion stage that are seeking equity to fund their growth. Specifically the focus is on entities with techniques and technologies that can be beneficially used in the waste, recycling, energy, water building and transport sectors. |
| 4 | Early Stage Capital Expansion Fund LP | AUBURN VIC 3123 | Investments in Australian businesses within three classifications, each with a different risk profile; start-up / early commercialisation, emerging and expansion across a range of industries. |
| 5 | Sydney Angels Sidecar Fund, LP | MELBOURNE VIC 3000 | Internet/web services, biotechnology, cleantechnology, healthcare, IT services, media and entertainment, communications and software development sectors. The Fund will leverage an exclusive partnership with Sydney based angel investment group, Sydney Angels, to invest alongside experienced active Angels. |
Related posts:
There is also Neo Technology Ventures: http://www.ntfund.com/portfolio.html
Funding options for bright, keen amp; enthusiastic Aussie web entrepreneurs
Hello, I have tried to get in touch with Tony Faure via t-4 but have not received any response at all. Would dearly love to talk to him or anyone equally as clever about guidance and help finding finance to grow my company which has been operating for about three years. Still a ‘one woman band’ and that woman is about to crack under the pressure. Need help! Have many many plans. Please advise next step.
Yours hopefully,
Jacqueline
Funding options available for startups in Australia http://www.pollenizer.com/fund.....australia/ via pollenizer