- About
Who We AreSpringCapital operates an Investment Club. On behalf of our club members we find and analyze investment opportunities in the venture capital / alternate investment space. When we find a company which meets our investment criteria we will form a special purpose vehicle (SPV) to enable our members to invest in that company. We only show our investors deals which we invest our own personal capital into. SpringCapital principals and advisors subscribe to a minimum of 10% of every deal we present to our members.
Why Invest In Individual deals Instead Of A Fund
You have a choice in the companies that you invest in
With Venture Capital investing, some deals simply resonate more with certain investors than others. We believe that investors should be given the choice to fully analyse the deals themselves and then opt out of deals they don’t like and invest more in deals they do.
Your Money is not tied up, uninvested, paying fees
When you invest in a fund, your money is often tied up for several years before it is even invested. We believe our investors have better ways to apply their capital.
In a fund there is pressure on the manager to invest the money even if the deal does not seem exceptional. We believe that if we don’t love the deal we don’t do the deal, especially as we have to invest our own funds into it.
SpringCapital will provide quarterly updates to members on the performance of each company. In addition, if member have any thoughts, suggestions, leads or concerns about the company they can get direct access to the management of the company, via SpringCapital.
Our club members have a very wide network of contacts in many different areas and locations. They can help open doors and make introductions for our investee companies. Our connections into China can be particularly helpful for some companies.
Why Australian VC Market
Science and Innovation
The key benefits of Australia are its strong scientific research and vital innovation atmosphere. Here, numerous inventions have profoundly changed human society, including penicillin, the HPV vaccine, Google maps and Wi-Fi technology. Additionally, the Australian government has vigorously fostered innovation and entrepreneurship by providing technological assistance, capital investment and preferential policies. Therefore, Australia has fertile entrepreneurial soil.
Open to Global Market
In recent years, the VC market has developed at a rapid rate and helped to hatch a large number of world-class unicorns, such as Atlassian, SEEK and Cochlear. Most commendable is the fact that Australian has active innovation and entrepreneurial genes, as well as a group of down-to-earth, humble and prudent start-up entrepreneurs.
Lack of Funding
Though Australian VC Market is rapidly developing and benefit from various and healthy exit channels, it lacks of funding and capital mainly raised locally. According to sources from AVCAL and University of Sydney Joint Report, the annual capital investment in the VC market accounts for less than one-half of the OECD average. The Australian VC market still has a large funding gap and room for development.
Outperform Stocks
According to data from Cambridge Associate, a world-renowned investment consultancy, Australian VC and private equity investment returns have outperformed Australian stocks and bonds within a 15-year time frame.