Angel investing platform DealShare aims to widen geographic spread of small business backers across UK
UKBAA’s newly-launched DealShare platform aims to connect the UK’s wide ranging angel community to enable them to collaborate on investments, recommend deals, and also to help entrepreneurs tap into a wide and varied group of backers.
Over 65% of equity investments took place in London and the South East in 2016 (see graphic), with many of the UK’s regions experiencing a decline. Through DealShare, UKBAA is seeking to connect the UK’s early-stage investors to enable them to collaborate on deals right across the country.
“There are a lot of angels out there but they don’t know each other,” said UKBAA chief executive Jenny Tooth. “Sometimes deals don’t happen because it can be difficult to find the right co-investment partner.
“Start-ups with strong growth ambitions seeking a significant amount of capital can also struggle to find the right angels and are forced to keep fundraising for a long time. It’s a fundamental challenge.”
Companies must be recommended by a UKBAA member and to have some of their funding round already in place in order to be listed and deals are priced at between £100,000 and £3m – the larger end of the early-stage market.
There are currently 25 companies fundraising on the UKBAA DealShare platform, from a wide range of industries including cleantech, SaaS, life sciences and consumer goods.
There are no fees for listing on the site, and UKBAA members do not need to pay to recommend companies or to invest.
The DealShare platform is focused on the UK market, and all investments must be eligible for the Seed Enterprise Investment Scheme, or Enterprise Investment Scheme tax breaks.