Rimon Advisory to invest seed capital in startups
- 27 October, 2015 09:47
Rimon Advisory director Gary Shapiro, Premonition co-founder Brad Lorge and Rimon Advisory director Lior Stein.
Sydney based grant firm Rimon Advisory has announced a seed capital fund called Rimon Investments to help startups with funding.
It plans to invest in eight to 10 early stage technology startups with minimum capital of $30,000. The fund does not charge management fees and is backed by a number of investors including MYOB co-founder Brad Shofer, Global Capital Holdings co-founder Gary Burg, capital markets expert Neil Hessen, angel investor Michael Kadoury and Investec Australia Property Fund non-executive director Sam Leon.
Rimon Advisory director Lior Stein said that one of the issues early stage companies face is cash flow and keeping the company “ticking over” before anyone knows about it.
“Through our advisory services we develop close and trusted relationships with the entrepreneurs and see opportunities at a very early stage, generally before they’re looking to raise capital,” he said.
“Beyond the initial seed capital, the entrepreneurs have access to further capital raising, such as Series A, part of which is intended to be taken up by our investment team.”
The first company to receive capital seed investment is Premonition, an Australian software company that uses big data technology to make distribution and delivery more efficient.
Premonition co-founder Brad Lorge said it has been a client of Rimon Advisory for over a year.
“Although we had several options for seed capital, the opportunity to access the funds through Rimon Investments was an easy decision because of our relationship. We understand one another and share similar values, and in addition to the funds, Brad Shofer has joined our board of advisors,” Lorge said.
“His advice and business acumen is helping me develop my leadership and commercial skills, which is as important as the capital.”