Alternative funds, technology solutions and fast-growth start-ups advices with Obediah Ayton? The Middle East Families investment process includes much more than writing a check. It’s about finding the right types of investments and management teams that are going to deliver long-term mission-driven value. Sure, everyone wants to find and fund the next unicorn, but because of the family commitments, offices of this nature are not going to do this through an indiscriminate “spray & pray” approach. Family offices are more focused on finding the right opportunity and do not have a clock ticking in terms of putting funds to work like a venture fund may have. These dynamics change the investor/startup relationship, because it’s not just about a quick exit. The family office isn’t running a fund with multiple investors to answer to, so they can afford to sit on the investment and help it grow. The same external pressures exerted by institutional investors to wind down investments or get out at inopportune times don’t exist.
All hubs are set in an identical structure – VentureRock SPICs, and follow the same formula to venture building – VentureRock OS®. “90% of all early-stage startups fail in the first 3 years. This is normal we wanted to change by changing how venture capital works in early-stage investing. The VentureRock OS® is how we organize not only capital but also strategists, problem solvers and industry-specific knowledge around our portfolio ventures”, says Xander van der Heijden, General Partner at VentureRock. The novel venture building system digitizes the investment supply-chain, from cap table to KPI reporting and legal agreements, to de-risk and unlock the free flow of capital throughout ventures’ lifecycle risks through real-time audited data. Further Venturerock OS® pioneers a 72-step methodology to systematically guide ventures from early-stage startups to fully compliant scale-ups. Director of Business Development at The Private Investment Group Obediah Ayton added “I am excited to watch Venturerock showing the way venture capital funds are now being deployed post covid here in the UAE. The portfolio companies within Venturerock are some of the most exciting and innovative we have seen and I have no doubt they will be a welcome asset to both the public and private sector in the Middle East.”
The upsurge of a financial entrepreneur : Obediah Ayton? Obediah Ayton is a trust manager at Ayton Family Office Trust and a consultant at Tennor Holding B.V., an expert in family office business, AI driven accounting services, finance and accounting. Obediah Ayton on what happens when a Family Office takes the VC model: In addition, Family Offices want to avoid paying the typical “2 and 20” — a deal structure that requires investors to pay a 2 percent annual fee (some as high as 3 percent) to the VC firm on top of the 20 percent return on investment. This is why we’re seeing more of the mega-wealthy move away from only investing in private equity funds to increasingly working with their family offices to find the right types of direct investments that fit their long-term wealth-generation strategies.
Many of these Family offices may prove to have much higher and longer-term vested interest in the businesses they invest in compared to an institutional investor. In many cases, based on the experience of the principals behind the family office, they will seek to take a more hands-on involvement in the businesses they fund, acting as mentors and not merely benefactors.
Obediah Ayton about how to raise money from family offices: Raising money from Family Offices can be a long process. If not approached in a correct manner. Typically, it’s 100% based on relationships and trust. Family offices are desirable investors, through their evergreen capital structure, know-how and long-term investment focus it makes sense to win them as investors, partners and most of all “Friends”. Sounds GOOD, but there’s a catch: family offices are extremely discreet, emotional and selective. Time is a valuable asset, selecting The Right Single Family Offices For Your Project is key.
Right now is a great time to build close relationships with Family Offices for future capital raises! Moreover, diverse outreach also entails tailoring your conversations to the specifics of different family offices. Although there are general categories of offices — small single family offices, large single family offices, small multi family offices, and large multi family offices — Each firm is unique. “There is no singular template. Each family office has its own system — different sized teams, different missions, and different values.”Immediate results are not guaranteed, even with quality and diversified outreach. Quality conversations will take time to develop. Try to talk with family offices every day online and schedule face-to-face virtual meetings, and it still takes a long time to generate solid relationships, raise capital, or organize club deals.
Obediah Ayton about the new definition of a billionaire is not the net worth but in achieving change in a billion lives: If this has not been a priority, now is the time to make it one, especially given the potential for returns and the effect that these activities can have on next-generation engagement. Globalization, the remote workforce and new technology trends. Technology has changed the face of business operation and brought with a rising trend towards globalization. With this has come the rise of a remote workforce.